One address. More than one front door.
Live in one unit of a duplex, triplex or fourplex and rent out the others. Theresa helps you understand which financing paths may fit the property and your situation.
A plain idea with a catchy name
You buy a property with more than one unit, you live in one of them, and you rent out the rest. A duplex where you take the upstairs and a tenant takes the downstairs. For a lot of people it's the first time owning a home and owning an investment stop feeling like two separate goals.
You live here
Another unit is rented
One property · Two roles
Your home and a rental under one roof
The details depend on the property and the financing, but the basic shape looks like this.
- You occupy one unitLiving there is what makes it house hacking. It also changes which financing conversations apply.
- Other units are rentedTenants live in the remaining units. How that rent is treated for a loan varies by program.
- Not one-size-fits-allEvery multi-unit property and every program works a little differently.
Two to four units
Neighbourhood-scale homes, not apartment towers.
Duplex
Two units. You live in one, and the other is rented.
Triplex
Three units. You live in one, and two are rented.
Fourplex
Four units. Three doors help carry the home while you live behind the fourth.
Whether a specific property works with a specific loan program depends on the program, the property and your file. Theresa will tell you honestly what's realistically in play.
A home that can also be a first investment
The reasons people ask about house hacking vary. These come up often:
- Becoming a homeowner and a landlord in one purchase
- Rent from the other units may help offset housing costs. How much depends on the property and the market.
- Learning how a rental works while living on site
- Owner-occupied multi-unit financing is a different conversation from pure investment financing, and may open up different programs
Know what you're signing up for
Multi-unit files have more moving parts than a standard purchase.
Occupancy matters
Living there or not changes the whole financing conversation. If you won't live there, see Real Estate Investor Financing.
Programs differ
FHA and conventional financing on 2-4 units each have their own terms, down payment and reserve expectations. They're worth pricing side by side.
Rent isn't guaranteed
Units can sit empty and tenants can move out. Rental income is also treated differently from program to program.
You're the landlord
Repairs, tenants and upkeep come with the property. Think through your own housing cost and responsibilities, not just the rent.
How Theresa walks through a multi-unit deal
Share the goal
First home, first rental, or both at once.
Review your file
Income, credit and savings, and which programs are realistically in play for 2-4 units.
Talk through the property
Unit mix, condition, the rent picture and what your own housing cost becomes.
Pre-qualify and close
Shop with a number you trust. She stays with the file through closing.
Frequently asked
Do I have to live in the property to house hack?
House hacking means you occupy one of the units. If you don't plan to live there, the property is treated as an investment and the financing conversation changes. Theresa can walk you through both paths.
Can a first-time buyer purchase a duplex or fourplex?
Buyers often ask this, and the answer isn't automatically no. It depends on the program, the property and your file. Theresa will tell you which options are realistically available.
Will the rent from the other units help me qualify?
Rental income is handled differently from program to program, and it isn't a simple yes or no. Theresa will look at the specific property and explain how its income would be treated for your loan.
I already own a duplex. Can I refinance it?
Refinancing a multi-unit property is something Theresa works on. Whether it makes sense depends on your current loan and your goals, so bring her the details and she'll run the comparison with you. See Refinancing.
What's the first step?
Get pre-qualified. It takes the guesswork out of shopping and tells you which price range and which properties are actually workable before you start touring.
Ask the Huntress
Still deciding whether house hacking is right for you? Bring Theresa the half-formed question and get a straight answer, with no obligation attached.
(913) 705-0049