I didn't lose money, but on paper it shows a loss (due to accelerated depreciation on the cost seg).

Hey @Kayla CarsonI am actually investing in the same area as you and also possibly doing the same strategy.The way I look at it when it comes to house hacking is whatever the dollar amount that's left after all expenses, if that figure is more than my current cost of living, than I am losing money.

@Heidi M.This is a non-tax related thing to consider as you lose 10%-15% in value when you sell a home and acquire another home.What is missing in the current home that you are looking to get a new home?

If you sell the home, expect to lose about 10% of the value of the home in fees/costs.6% to realtor commissions, 4% in other closing costs(Transfer taxes/title costs).There may also be income taxes as a result of the sale.

Instead of paying rent and losing that money, we’d rather put it towards a mortgage of our own.

Technology won't change that.The echo chamber investor is the most likely one to lose their money on a deal because they only want back pats and don't listen to constructive criticism.

Unless I read something incorrectly, you stated that if the company you are speaking with comes close to their numbers, you would only lose $100-$200 monthly.  

Lose money, gain market share, eventually profits will come... 

They WILL give me a heloc, but only on $381k, in which I would lose out on not only the ARV value, but the 60k cash I invested into the rehab.

I recommend listening to this Bigger Pockets episode on how to protect yourself when investing in real estate: Real Estate RookieDon't lose your portfolio to lawsuits!