Negative cash flow house hack

[Devin Voelker]

Hello everyone! I'm going to see a property soon and would love some input from you guys/gals. I'm looking at a property in a thriving area its a duplex for 430k 4 bed 2 bath the average rent for a 2/1 is 1500 in this area. The loan I would be using is VA home loan so 0% down I do not have the funds for 20% down, when I run the numbers it's at -750 cash flow with both units rented out. Would this property be something you guys would still consider with it being in a very hot market in Riverside Jacksonville? I can find some cash flow in C- class neighborhoods around me like $100 or $200 but I just don't see any growth in those areas anytime soon so I would like to go B class but -750 just seems a little much. thoughts? solutions?

[Minna Reid]

I can't believe all the votes for getting into huge negative cash flow situation. 

Can't tell if you want to live in it, but VA is an owner occupant loan, and without some mortgage fraud you are not buying this house as an investment piece.

But more importantly $750 negative cash flow???? Seriously, why are you even considering this unless you yourself desperately want to live in Riverside. 

Buying for appreciation is also a terrible gamble especially when we just passed the peak of the market.

PASS on this "deal" it is no deal at all. 

If you want to cash flow you can still find it in West side or north side or maybe parts of Arlington and surrounding. 

This sounds exactly like the backstory I get when people call me to short sell their negative cash flow homes a few years after their poor decisioning catches up with them.

Just don't do it.