FHA Loan to Minimize Personal Capital in House Hack - Thoughts?

[Mikael Winkler]

Hello all,

I am currently researching properties for my first rental. I know I'm going to do a house hack and have been contemplating ways to reduce my initial capital as much as possible, as I have next to nothing available anyway. 

I'm thinking of doing an FHA loan with 2.5% down and down payment assistance to cover that down payment. Has anyone had experience with this or have thoughts?

Thanks everyone!

[Kyle H.]

Originally posted by @Mikael Winkler:

Yeah, I understood PMI would be a part of it if I went that route. But for having next to nothing into it initially, especially if you're just starting out, its a good way to go I think. Thanks for the input!

It's absolutely the best way to go.  If I knew what I know now, back then, I'd house hack like crazy.  Talk about building wealth for virtually nothing and living for free for as long as you can!  Ask @Brandon Turner...I think he would approve...he's kinda obsessed.