All Forum Posts by: Daniel McDonald

I am in the team of smaller portfolios with more cash flow vs. 100 doors. However, it depends on the interest rate. I have often thought of doing the same thing but I have a 2.9% IR on my duplex which is so low that I don't see much of a reason to pay that one off quickly. If it was a 7% I'd probably feel differently. But this is a question I think most investors ask themselves. This is where your goals needs to be crystal clear. 

 It’s actually a duplex. The first floor is a 2/1 which is rented and the second and third floor is one unit with 4 beds 2 bath. Definitely not cheap, cost 750k 2 years ago but we’d be paying a lot monthly more if we just had a straight up 4/2 SF. 

This layout has been perfect for us because the rental unit will likely be 1-2 people so not a lot of tenants and most likely a young couple. So it really doesn’t feel like much of a shared space. We feel the separation. 

You're definitely thinking about it the right way! I respect that you are doing it with kids, too many people use that as an excuse. I am house hacking in an expensive area myself, just north of Boston. Obviously I'm not super familiar with all the laws and regulations in your area but what I love about house hacking is it can be as creative as you want it to be. 

Could you find a spot with an ADU? Or the potential?

I know someone who rents an RV in their backyard. You could also create storage spaces, like a garage or basement and rent it out on neighbor.com. Could you do a large multifamily? We bought our second one to grow into, it has 4 beds in our unit. We rent the bottom unit which is a 2/1. 

Just a heads up that if you do reach out to too many hosts Airbnb will flag it and you run the risk of being kicked off the platform. So it's definitely a balancing act. Try alternative ways of contacting them like finding out who owns the property, going to meetups, or seeing if they're any online groups for airbnb owners in your area, like an FB group or something. Or straight up ask in the forums here! 

Welcome @Ryston Watts! 

Both my duplexes are up down vs side by side. I wish they were side by side only because of the noise but that isn't really a thing in my area. Hasn't made much of a difference though. I wouldn't NOT buy a duplex just cause of that.

Is it a single family? You may not qualify for it if you can’t afford it. Truthfully I couldn’t afford with of my duplexes without the rental income. I could skate by a few months but if I had to pay the whole mortgage on my second one it would really suck. However, the vacancy is really low in my area and prices are really high so it’s a gamble most house hackers take. I’d say only do it if you knew you could get renters in there asap. And keep them.

@Laquisa S burke I am in Beverly, not too far from Boston. What's the current situation in terms of cash flow? Is this a full rental? How much cash flow? Or a house hacking situation? 

Two quick thoughts is partnership, equity style. I have heard of a company that I am drawing a blank on that will pay you for a piece of the equity. OR maybe find a partner willing to do the same? Not as easy to think through without the numbers. Always happy to connect and bounce ideas off each other. I am sure there is a way to keep it and speed up the debt payoff piece! 

Roomies.com is an option. Like Stephen said figure out what type of tenant you are looking for. That will make a difference whether you are using FB groups, craigslist,etc.

Oh man, thats a HUGE question right now. I am/was in a similar boat. Have experienced crazy appreciation at my first house hack. I only took out a 50K heloc though when I was living there cause I didn't want to be tempted. I used that 50k to house hack the second one and been slowly paying it off. Some days I am like this was 1000% worth it and others I am like how are people so comfortable with this!? My rate has jumped from 4% to 10% so it's hard to find something better than 10% to make it worth it. But I want to tap into the equity to and not lose my interest rate.