How To Get Started With House Hacking To Build Real Estate Wealth

On average, Americans who build any wealth, do it by owning their own home. In the long run, owning a home is usually better than renting for life. However, if you’re willing to “house hack,” owning a home could catapult your net worth immediately.

Broadly speaking, house hacking is the art of having tenants pay for your primary residence. You can do that by renting out a spare bedroom on Airbnb, by living in one part of a multi-unit property, or by living with roommates.

For example, my best friend bought a 4 bedroom house when he started in college at Arizona State University. He lived in the master bedroom, and rented out the three other rooms. This arrangement covered all his expenses - so he was not only building wealth, but living for free!

By choosing an unconventional primary house (or unconventional living situation), you can set yourself up for extremely low living expenses now, and massive cash flow expenses in the future.