What is house hacking and is it right for me?
Posted by Merrill Jencks on Monday, November 14, 2022 at 10:00 AM
By Merrill Jencks / November 14, 2022
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What is house hacking and is it right for me?🏘
A lot of clients approach me and they're kind of in love with the idea of house hacking which is where well there are a lot of different definitions of how house hacking but in this particular instance they plan on buying up to a four-plex as their primary residence. So you may not know this but if you buy a four Plex and you intend on living in one of the units yourself you can buy it as your primary residence which is really good because you can put as little as three and a half percent down and you get the preferred interest rate. An investor, if they want to buy a four Plex they usually have to put 25% down and the interest rate isn't as good. So, it's a really great way to begin building your real estate portfolio but there are a couple of big downsides. Number one, a lot of fourplexes are getting very expensive because it's very popular to do this. Number two, in the Phoenix area anyway there's just not a ton of fourplexes that are in great neighborhoods so you might want to just consider or any of these places in neighborhoods where I want or I'm willing to live and number three are you comfortable living right next door or on top of or below your tenants. So consider those factors if you those are all yeses and you're willing to deal with those things then absolutely I think it's a wonderful way to begin building your real estate portfolio.
What does this mean to you? If you're even a little bit interested in learning more about participating in the Phoenix housing market as a seller, buyer, or investor... you NEED to know this stuff! Or at least work with someone who is obsessed with the market stats. Reach out to me today so we can start working on making your real estate dreams a reality!
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