Look for a duplex, a house with a walkout basement, a bonus area, or a tall wide attic.

@Renee Williams Business credit cards are not just to build credit a great tool to save some money on average, 1.5% to 2% on some categories, up to 5% on business travel 10% plus sign-up bonuses.

Sometimes we need to get creative with oil & gas investments, land conservation easements, or bonus depreciation.

This way you have some practical knowledge of how it all works and as a bonus you will have an experienced partner who might be willing to take on some of the risk with you when you decide to make the leap out of state. 

here is the thing many don't know about househacking: it's not meant to cashflow. househacking is meant to at least significantly REDUCE your personal cost of living, so that a) you have extra money every month to invest in other properties, or b) your reduced cost of living makes you that much closer to financial independence (lower expenses = easier to retire). a bonus is that in househacking a multi you can get into "more house" (a more expensive asset) so you're getting that much more appreciation annually. if househacking eliminates your personal cost of living, that's awesome, and if you actually cashflow off your househack (usually achieved via STR or MTR), that's amazing, but COL *reduction* is still a massive househack win. for example, i used to pay about 1500/mo for rent in a 2/2 in a not so amazing neighborhood. now i live in an amazing neighborhood in a way bigger nicer/place and my portion of the mortgage payment (PITI) is $50-750 depending on who's in my guest room at that time. i also have a property worth over 600k that's appreciating for me!

Bonus... it smelled like raw sewage.

I'm in escrow with a home that has advertised a 300 sq foot "bonus room", but in actuality it is an enclosed sunroom without insulation and a waffle roof.I asked if it was permitted and the seller doesn't know as they "bought it that way".

I just feel like I'm taking all the risk here, because his renovation job gets paid for sure, no matter what, and the profit is a bonus for him.Should I ask him to contribute a part of down payment (how many %)?

@Bridgette Smith Hi Bridgette, everyone has there own numbers I'm sure but I look for $200-$250+ cash flow monthly, a house that will have above avg. appreciation (a bonus if your exit strategy for buy and hold properties is to sell after 5-7 years).

I didn't do any rehab, and just as a bonus, the property value in one year has gone up quite a bit.