@Daniel LehmanYou can potentially buy up to $1,000,000 in real estate if you get 80% loan to value mortgage.I would prolly aim for for a little less in total value so you have some funds as a rainy day fun and to also have a budget for repairs/improvements.I think it is a good idea to diversify your assets at this point in the market.I would like to see if you can get 2 3-4 unit properties in a B / B- / C+ class neighborhood.You instantly reduced some risk by transferring 2 units into 6-8 units.on a side-note, I really like San Diego.

This will help you qualify for money enabling you to purchase a larger property.If you can reduce your cost of housing then house hacking is a win... especially in a high cost of living area.

That gives you your tamper proof outlet, meets code and reduces shock hazard.

@Hayden W Gibson not at the moment, I’ve been looking at house hacking and reducing my overall debt.

The first purchase usually reduces or eliminates your housing costs.

You may want to calculate the gain situation and think about reducing price a little to force a sale but offset that with tax savings and still come out ahead but get rid of the albatross.

I'm not considering reducing the amount of coverage I get and I have heard stories of homes burning down.

At some point with rent growth that would reduce, but might take around 7 years to reach that point at 3% rent growth.Is there anyway to better justify a purchase like this? 

You would skip from loan, and could make a bit more ( or reduce cost).This is the only way i see viableGood luck

For example, show someone the math for how that $400/mo car payment reduces their buying power by $100k or so, and stop talking... all of a sudden there's a brilliant idea (THEIR brilliant idea) to pay the car off (and it was with another $25k that moments ago they told me did not exist).