Duplex House Hacking in Louisville, KY

[Account Closed]

Hi all!

Thought I'd share my story and hope it would inspire someone else to go for it like so many of the stories here inspired me.

My interest began when I was in college learning to be an xray tech. I read blogs and listened to podcasts. When I got out of school, I saved until I was ready to buy my first property. I found a mortgage broker and awesome realtor with a construction background. After about a year of searching, one failed offer, and countless viewings, I found something that would work on the MLS.

I had 3 goals going into the purchase:

1.) Stop renting, and buy something

2.) Have the rent coming in pay the mortgage

3.) Learn about property ownership and tenant management

I'd say those 3 goals have been accomplished!

Details

List price: $94,900

Bought: $92,000

Downpayment/closing costs out of pocket: $16,700

Seller cash back at closing (for repairs, prorated rent, deposit from tenant): $1,408.07

Repairs: ~$950 (received $1000 back from seller for repairs not done by him)

Bed/bath: 2br/1ba on each side

Market rent: $600 per side

Actual rent: $550/mo until May 2017

The previous seller was house hacking the duplex himself. He had already placed a tenant in the side he wasn't living in and would leave one side vacant upon selling. Closing took a while! I had everything in place but my lender was slowww and it was a busy time. My offer went in on 6/20/16 and was accepted a day later (maybe offered too much, but the seller had back to back showings when I looked at it so I wanted to be aggressive). Inspection was completed 6/29, seller made a few repairs, I did an inspection of the repairs and we closed 8/8/16.

After closing, I did some plumbing work that the inspection turned up, and repaired a kitchen light. It has been smooth sailing since then. The inherited tenant has been great so far! He pays every month, is respectful, and quiet. I hope to renew his lease in May, then bring the rent up the following year.

Now on to pics:

From here, I'd love to do a flip so I can get some more experience rehabbing + save up for another buy and hold. I hope this inspires someone to get out there and make it happen!