House hack for College Son

[Emily Runyan]

Investment Info:

Single-family residence buy & hold investment in Oxford.

Purchase price: $214,000
Cash invested: $21,400

I purchased this property for my son to live in while he is in college. I furnished the property for under $5,000. My son is the property manager, and house hacking with three roommates. (We turned the attached 2-car garage into a 4th bedroom, adding equity and cash flow.) Monthly Cash flow $1,000

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

Real estate was cheap in Mississippi, and I could purchase the home with 10% second home loan. My son could live there while in college.

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

My son looked at homes that I chose with a realtor that I found on BP.

How did you add value to the deal?

Added 400sq ft of living space by turning attached garage into a 4th bedroom. I gained one additional renter, adding $800 more monthly rent income, and we build approx $40-$50K of equity.

What was the outcome?

We will sell the home in May 2025 when my son graduates, and I will share the profit with him.