What to do with house hack after college?

[Jack Hamm]

Hello BP, I am very interested in househacking while in college I have started researching properties and have questions on how to turn the house hack into a medium term rental property for other college students. When finding a price to rent the place for how do I decide because there could be up to 4 people living in the home but comp properties are renting for $1800 a month and I feel like $450 per person per month is to cheap but I may be wrong. How do I decide on a price to set rent at; how do this vary when it won't be just one person or one family it will be 3-4 people living in the home?

[Ryan Thomson]

@Jack Hamm I wish I was thinking like you in College! Here is an interesting idea. Use your knowledge and drive to convince your parents (or other co-signer) to get a home near your college. Co-sign with them and put some money down with them if you can.

Buy it as YOUR primary residence with your parents as the co-signers. This would allow you and your parents to only have to put 3.5-5% down. Then you rent out the rooms to your college friends. This will probably allow you to live for free and your parents to avoid a dorm or expensive home payment while you are in college. Not to mention you can both cash in on appreciation and loan paydown.

If you really wanted to scale, you could do this each year. Rent out the last house to a new group and move with your friends to the next house. This is a great way to scale and you only have to put 5% down if its your primary residence each time.

You obviously need to convince your parents or (someone who would co-sign and help with the downpayment) about how good of an idea this is. But if they are savvy money people and they trust you (which I bet the do), then this seems very doable. Maybe give them part of the equity or a monthly fee until you refinance and get their co-signing off the loan.