The Power of House Hacking

Introduction
Buying a home in today’s competitive market can feel challenging, especially with rising prices and high demand. But there’s a strategy that allows you to afford more space, enjoy a yard, and even reduce your monthly mortgage payment—it's called house hacking. In this guide, we’ll dive into how a $620K single-family home could end up costing you less each month than a $470K townhome.

The House Hacking Advantage
Imagine purchasing a 2,100 sq. ft. single-family home with a 1,500 sq. ft. basement suite. By renting out the basement as a rental suite, you could bring in $1,700 per month (or over $20,000 annually). This rental income directly offsets your mortgage payment, making it possible to enjoy the benefits of a larger home at a reduced monthly cost.

Breaking Down the Numbers
When you buy a $620K single-family home with a rentable basement, the additional income can significantly reduce your effective monthly mortgage payment. Here’s how:

• Rental Income: $1,700 per month from the basement rental
• Mortgage Offset: This income is applied to your mortgage, reducing your overall monthly cost
• Affordability Advantage: Even though the home is priced higher than a $470K townhome, the rental income from house hacking effectively lowers your monthly expense.

Beyond Savings: The Benefits of House Hacking
House hacking not only saves you money but also gives you access to the advantages of a single-family home:

• More Space: A larger home with both upstairs living and a basement suite.
• Outdoor Space: A yard for you, your family, or your pets to enjoy.
• Garage and Storage: Additional storage and parking space that a townhome might lack.

Meeting Utah’s Rental Demand
With a high demand for affordable rental options, especially basement suites, finding tenants in Utah has never been easier. The rental income from your basement suite can be a reliable source of income, helping you secure more affordable homeownership while addressing Utah's housing shortage.

How I Can Help
I'm dedicated to helping homebuyers like you find affordable housing solutions through house hacking in Utah. From finding the right property to setting up your rental suite and understanding self-management, I’ll guide you every step of the way.

Interested in House Hacking?
If you’re curious about how house hacking can work for you, book a call with me here to learn more. Let’s explore how you can afford more home while paying less each month.

Best,

Joel Jones Founder, Landlord Strategy

Realtor at Equity Real Estate (Advantage) License Number 5495075

Website: www.landlordstrategy.com