What is house hacking?

[Hansel Gunawan]

It might sound stupid, but I'm beginner here.

What exactly is house hacking? what makes it better than other strategies?

Thanks!

[Nolan Chandler]

Hey, @Hansel Gunawan! 

So, in sum, house hacking can be when you are able leverage low down payments in order to control an asset (use an FHA loan and rent out the other rooms/units, use the VA loan with no down payment to ultimately turn the property into a rental property, etc.). This strategy acts as a low barrier to entry to allow someone with little capital to enter the investing world, to build equity, and repeat the process to continue to build their portfolio/wealth.

I would be happy to go into more detail should you ever want.

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REALTOR® CalDRE: 02221003 | CA Bar: 322013