House Hacking and Living for Free

[Kyle Davidson]

Investment Info:

Townhouse buy & hold investment.

Purchase price: $375,000
Cash invested: $55,000

2700 square foot house in Conshohocken, PA. I utilize the Rent by the Room strategy to live for free and plan to turn it into a full time rental once I buy my second house hack. Shortly after closing on the deal, I ran into a costly mold issue in the finished basement that ended up costing me over $20,000. However, even after this unexpected expense after 1 year I received and NWROI of 74%. 

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

House Hacking is a great way to get started in real estate investing while reducing your living expenses. I wanted to buy a house where I could live for free and that would cashflow once I move out.

How did you finance this deal?

Conventional 5% down

What was the outcome?

Living Free for 1 year and will be able to cash flow 200 after all expenses once moved out.