Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Real Estate Deal Analysis & Advice
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 6 years ago,

User Stats

2
Posts
0
Votes
Ladel Hill
0
Votes |
2
Posts

House Hack - should I go for it?

Ladel Hill
Posted

Hello investors! I'm embarking on my first deal! Yay!

A property came up last night...

2 houses on .75 acres. A 3/3 with storage and 2 car garage, and a 1/1 with potential to add a second bedroom. 

According to the agent the property is in good shape. Seller just dropped the price $25k. Might be best deal in this shape for under $500k with potential cash flow.

PITI is $2,573. 3/3 house comps rent for $2300-2600. 1/1 house comps rent for $1200.

This is a house hack - no money down (VA loan), so we live in the 1/1 and rent the 3/3. When we rent the 3/3, and live in the 1/1 we will pay out of pocket $575 (after saving &300 per month for capital expenses and potential vacancies). Once both are rented (after 1 year requirement for us to stay there under VA loan), positive cash flow is about $475 (after saving $455 per month for capital expenses and potential vacancies.}

My only hesitations are:

1 - This is my first deal, I'm nervous!

2 - When we get the property, it will be empty. A family is living in it now, and will all move out after closing. That's leaves me to find someone who can pay rent at $2,300 which seems like a lot to me. 

Should I go for it? Thanks for the advice!!!!

Loading replies...