Buy a multi‑unit property, live in one unit, and rent the others. Learn how house hacking can drastically reduce your living expenses and jumpstart your real estate investing journey.
House hacking is the strategy of buying a small multi‑family property (duplex, triplex, fourplex), living in one unit, and renting out the others. The rental income can cover most or all of your mortgage, letting you live for free while building equity and landlord experience.
Rental income from other units can offset your housing costs, sometimes turning a negative expense into positive cash flow.
Your tenants pay down your mortgage, building wealth while you sleep. Over time, appreciation adds to your net worth.
Start small with tenants next door. You'll learn maintenance, tenant management, and the ropes without a huge portfolio.
FHA loans allow as little as 3.5% down on 2‑4 unit properties if you live in one. Conventional loans also have low down payment options for owner‑occupants.
1. Find a property – Look for duplexes, triplexes, or fourplexes in your area. Use an FHA loan if you're a first‑timer.
2. Run the numbers – Estimate rental income from other units, factor in expenses, and ensure you can cover the mortgage even if vacant.
3. Live there – You must occupy the property for at least one year to satisfy owner‑occupancy requirements.
4. Rinse and repeat – After a year, you can move out, rent your unit, and repeat the process with another property.
Pro Tip: Some investors start with a single‑family home and rent out rooms. That's also house hacking! The principle is the same: use rental income to reduce your living costs.
See how much you can save (or earn) by renting out part of your property.
Adjust the values and click the button.
This calculator estimates your mortgage payment and compares your net housing cost after rental income to your current rent. It does not include vacancy, repairs, or property management – always budget for those.