Dallas, TX House Hack

[Devin Gillespie]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $325,000
Cash invested: $10,000

I house hacked a SFR with an ADU. I live in the ADU, and use the main portion of the home as a Short Term Rental (STR).

What made you interested in investing in this type of deal?

I truly had a burning desire to get started in real estate, and after weighing a number of scenarios I knew that House Hacking had to be the first move. I went into the home buying process knowing that was exactly what I wanted, as it would allow me live for cheap or free, earn passive income, and learn as I go.

How did you find this deal and how did you negotiate it?

I found the home on the MLS. It was listed for longer than usual and were able to negotiate closing costs as well as other contingents.

How did you finance this deal?

I am a full-time teacher, which gave me access to a number of home-buying assistance programs. After some research, I was able to put less than 5% down on a conventional loan.

How did you add value to the deal?

I converted the SFR into a functional duplex.

What was the outcome?

The STR revenue covers the property's expenses.

Lessons learned? Challenges?

The biggest challenge I had to overcome was myself. I had to trust in my plan, and learn to ask the right questions along the way. I bumped my head, but it leaves a mark I'm glad that I have.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Daniel Webber - ATX
Jere Becker - DFW