House Hacking But I Already Live for Free

[Elijah Faas]

Hey everyone!

At the moment, I live for free at my moms house after I finished college. She said I can live there as long as needed until I get my first property. I'm in an electrical apprenticeship program and will be done in 4 more years of working full time. My pay substantially goes up each year until I am done with the program. I wanted to house hack and buy a duplex or triplex and force appreciation by improving the property while living there. 

My problem right now is a lack of capital. I am saving about $350-$400 per week which is 80-90% of my paycheck. I wanted to house hack but because I would get an FHA due to low capital, I would have to live in the property and it would most likely negatively cashflow a small amount. If I continued to live at my moms house, I would keep living for free.

Would I be better off saving up 20-25% to put down on an Investment property that would cashflow or owner occupy a FHA property so I could get started now with the money I have even though the property may not cashflow.

Currently have about 10k saved up and are pre approved for an FHA loan under 200K

All input is welcome, thank you all!

[Matthew Kwan]

Definitely go for house hack either using FHA or conventional. As you mentioned "limited capital" if you purchase an investment property it will require you more down. How are the properties over in WI? Since you have to live one room/unit I would try to find a house that would have at least 3rooms ++ so you can have at least two tenants and receive rents @Carlos Valencia @Albert Bui