House hacking is an incredible way to get into buy and hold real estate investing with a relatively low financial barrier to entry… plus the added benefit of reducing housing costs!

When you sell a property your proceeds at closing generally will be 8-10% below the sale price due to 5-6% realtor commission, settling escrow accounts, county deed recording fees, etc.At 80% LTV you can get the mortgage insurance payment dropped, you open up the possibility of other non-FHA and non-owner occupied financing, you give yourself a cushion to sell if needed, and you reduce the possibility of being upside down if values pull back.  

It's nice that this manager offers a pretty reduced-fee for a longer-term, but in my experience the tenants tend to break those long leases.

Having additional cash on hand reduces risk and does not increase the risk.Good luck

Perhaps with the extra time, you may find something wrong that you can use to reduce the price.You may be in a better place than you think you are.

It will also incentivize landlords to sell reducing rental supply. 

If she reduces her commission 1% for example she makes more money (win) 5% vs 3%, Seller keeps more money (win pays 5% vs 6%) and I get the property 3% less (win) and or I get the contract over many other competing offers.  

@Andrew McCotterAgree with Joe but I’ll state it in terms of ROE because I look at number *and* percentages ;-)Take the formula for ROE:Return on Equity = Net Cash Flow/Total Equity InvestedFinancing will reduce your net cash flow by the amount of debt service which decreases ROE.

Has the price been reduced?

It may help you remove/reduce some of the risk you associate with private lending.