Looking to househack into an FHA. What is the process?

[Cory Dill]

Hello all. I am looking to get the ball rolling to buy into my first investment property through the house hack method with an FHA loan. What would be your first step in doing this? Should I get pre-approved for a loan first? If so, how do I go about doing that? Are there any good threads that give a run down of the general process from start to finish. I am looking to learn to fully understand the process and run through some of the motions now considering I won't be able to buy into anything until around October or so of this year. Thanks!

[Will Fraser]

Hey @Cory Dill, welcome to the Biggerpockets forums! The good news here is this: house-hacking with an FHA loan is a pretty straightforward ordeal. You should get pre-approved, which is as much of an opportunity for you to vet the lender as it is for them to vet you. For an FHA house-hack you'll want someone competent in FHA loans AND investments or house-hack's specifically. Ask casually about people they've helped by 3 and 4 plexes. Ideally your lender wouldn't be learning the ropes alongside you. Please make sure you have a competent agent working through this with you, doubly important if the lender is not wise in the ways of a house hack.

Here're the basic steps:

• Start relationship with the lender.  Give them as much info as you can up front. 
• Search for home(s)
• Find the one you're ready to move forward on, based on lease rates and the condition of the property
• Confirm with lender that you can buy this value house based on your income, debt, and the lease rates
• If you get the greenlight, write the offer.
• Offer accepted = you're under contract
• Under contract = do your inspections and get ready to give the lender a LOT of paperwork :)