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BiggerPockets Real Estate · November 20, 2023 · 52m

Small Multifamily: The Sweet Spot for New Investors

Washington makes the case that 2-4 unit properties are the best entry point: FHA-eligible, manageable complexity, and enough units to house-hack while building cash flow.

Canon

Washington argues that the responsibility of being a landlord — maintaining a property, responding to tenant needs, managing finances — transforms your identity from consumer to provider.

Highlights

Small multifamily combines house hacking with portfolio building in a single purchase
A fourplex with FHA financing lets you live in one unit for 3.5% down while three tenants pay most or all of your mortgage — simultaneously solving housing costs and building an investment portfolio.