Looking to start in real estate by house hacking

[Joey Llamas]

Hello BP community!

I’m 24 years old and want to begin taking action to financial freedom. Taking the advice from Brandon turner he mentions you need to have your crystal clear criteria as this will narrow down and tune in what you should start looking for.

My CCC would relate towards my goal of beginning my momentum train through house hacking

1- primary residence, anywhere from single to four plex depending on if I have the capital to.

2-It will be in the same city or nearby from where I currently work in Palmdale CA. 

3- condition, not to sure to be honest if I get a fixer upper what repels me from this is not having to capital to fix it. Not to sure what options I have for that.

4- the price range well, I talked to some loan officers and they mentioned I can get a 325000 ish house for about 2100 a month was kinda the ball park. I’m not to sure if I can qualify more if I mention I plan on making money with renting the rooms or potentially other units out though?? I know this may play into the loan to value stuff they officers use? Does anyone know more about this, I though I heard this on a BP podcast on house hacking but didn’t go to much in detail about it.

5- profitability, well my goal is to live absolutely for free!! Of course though if I do have to pay out of pocket for a portion of the mortgage payment I would be okay with paying less than 500 a month. My current living expenses for renting a room in a house including utilities is about $1000. So if I can get below that it’s a win in my book. 

I just wanted to post this and see any input from the community on any tips or just comments, I’m a newbie but have the drive to not be a slave in a company where I am replaceable and cannot make my own schedule. By the way real estate is freaking cool!! 

One question I do have is that I’m stuck on a 2 year lease with roommates for a house. Since we all moved here for work back in July of this year. I really don’t want this to stop me for 2 years before I buy a primary residence and house hack it. It’s possible to leave the lease right? 

Looking forward to community engagement:-)