All Forum Posts by: Kareem Lyons

I'm trying to start out as a real estate investor. I have 25k saved and want to house hack but I'm running into some hurdles. Most multi-family properties in my area are either not in a good area, are too expensive, or the units are already rented. For multi properties that I do want to live in and house hack. I can't find any that are in my price range (under 300k) and in an okay area.

Most of the cheaper properties already have 1 or all the units rented. Now I could buy a duplex that is already occupied but then I wouldn't be able to house hack it ( since they are not in good areas). I did a report on the address 848-850 Salisbury Rd, Columbus, OH, 43204 and the report said I would cash flow $300. both units are already occupied it seems. Could someone see if I ran those numbers correctly and that they are correct ?. overall I'm just frustrated.

I can't find a duplex in my price range that I'm willing to live in for house hacking.

If I were to buy something cheaper that would damage the possibility of house hacking due to bad areas and already being occupied.

I'm thinking of just buying a single-family home and renting it or occupying it.

What do you consider too expensive? $25,000 can buy you a lot if you house hack. $25,000 (savings) /.03 (min down payment) = $833,333. This will pretty much buy you any duplex in Columbus, Ohio. Some of that $25,000 will need to go towards closing costs and reserve, but you should still have a solid limit.

The max FHA loan I was approved for currently was 300k due to income. I know rental income can increase that amount but I still need to find the right property

1 Vote

Originally posted by @Zeke Liston:

Originally posted by @Kareem Lyons:

Hello,

I can't find a duplex in my price range that I'm willing to live in for house hacking.

If I were to buy something cheaper that would damage the possibility of house hacking due to bad areas and already being occupied.

I'm thinking of just buying a single-family home and renting it or occupying it.

Hi Kareem, I am currently house hacking in Olde Towne East. There are some great house hack opportunities under $300K.

Really ?. was this an MLS property ?.

2 Votes

Originally posted by @Ashley Kehr:

HI Kareem, have you considered purchasing a single family and renting out the rooms? You could share the common areas and rent out the additional bedrooms. You could also start looking for single family properties that have the ability to have an additional unit added to them. Maybe the basement could be converted into an apartment( my sister's house hack had a bathroom already in the basement but it wasn't in the listing), theres a separate entrance where a studio unit could be made in a room or the garage could be converted to a rental unit. I recently talked to someone who is house hacking a property that previously was a bed and breakfast. It was listed as a commercial property so people looking on the residential mls never saw it. Also look for off market deals on facebook marketplace and call on any for sale by owner signs you see driving.

yah im currently looking into this idea. Just weighting options

1 Vote

Hello,

I can't find a duplex in my price range that I'm willing to live in for house hacking.

If I were to buy something cheaper that would damage the possibility of house hacking due to bad areas and already being occupied.

I'm thinking of just buying a single-family home and renting it or occupying it.

2 Votes

Hello,

This will be my first post on this forum , I want to give a brief rundown of my situation. I have 9k saved up and I just got approved for up to 100k FHA loan through my credit union with 3% down. My goal was to get approved for a loan and purchase a nice home around 50-80k and rent it out to my mother. I figured this would be a good way to get my feet wet with investing and learning the ropes. After looking around for a while I noticed there arnt very many nice homes ( 3bd,1.5bh, etv ) in my city, From what I can see it seems the the sweet spot is around 130k.

I reached out to my lender about other options, I know they do investment loans but I know the down payment will be high probably. I didn't get approved for a conventional loan probably due to the down payment required. Also I really want to use this as a investment home but I'm not sure if I can tell my lender that. I dont think they will fund a FHA loan if I plan to rent it out. My way to work around that was to purchase the home and stay in it for about a year while having my mother stay with me an paying rent. After the 12 month I would move out and let her take over the house from there.

So I have a couple questions I need help with. should I just purchase the best home I can find for the amount and follow the original plan?. Should I hold off and save up more money for a higher down payment ?. Should I save up and buy with cash ( longer time required plan) ?.

0 Votes

All Forum Posts by: Kareem Lyons

Kareem Lyons has started 2 posts and replied 5 times.

Post: Trying to start out but need to help.

Post: Trying to start out but need to help.

Post: Trying to start out but need to help.

Post: Trying to start out but need to help.

Post: Any advice on my first home purchase ?