Okay well good to know, looks like i will be saving up and using that primary loan option with low down payment to house hack.You'd have to convert the property to an investment property first, than you could 1031 it.

Say that I have a house that is paid off and I want to convert it to rental property.

Once this converts to a full-on rental in a year, I'll have almost $2500/mo passive income!

We bought it as a 4 unit and he converted it to a legal 5 unit after closing which made the cashflow substantially better.

We are coming from Colorado where I recently sold a CrossFit gym... and hopefully my home there will sell shortly.I'm going back through ALLL the podcasts and hoping to be like Linda on Ep. 153 and amass 100+ rentals eventually.

I will eventually inherit that property, but things will be restructured by the time it happens.

In addition, a separate living space/500 sq ft area that was built in hopes to convert to an ADU that the former owner never got around to.

In addition, a separate living space/500 sq ft area that was built in hopes to convert to an ADU that the former owner never got around to.

I avoid buying any deals with any major negatives to it such as busy streets, near railroad tracks, in airport flight paths, having a large number of stairs to climb from street to front door, commercial unit next to or behind it (unless the play is to convert the usage of course), or any major factor that will hinder your buyers pool With a smaller buyers pool comes less competition for your unit and therefore, typically will make it more difficult to sell (longer hold times) and for less than the model match on a non busy street or without major detrimental factors.This opinion of mine comes from 15 years of experience and making some of these mistakes.

Other criteria I look for in a SFH house hack: an easy way to split into multiple units, a walk out basement, an ADU, a garage I could convert, or lots of bedrooms.