House Hacking for Rental Income

House hacking is a real estate investment strategy that allows individuals to purchase a multi-unit property where they can live in one unit while renting out the others. This approach not only reduces living expenses but can also generate rental income that covers mortgage payments. For middle-class earners, this strategy is particularly beneficial as it allows for lower down payments, sometimes as low as 3.5%. Given a starting budget of $40,000, house hacking can enable individuals to buy properties worth up to $640,000. This method helps new investors enter the real estate market without the need for extensive funds while providing an opportunity to gain experience in property management. The target audience includes young professionals, families looking to offset living costs, and anyone eager to build wealth through real estate. Implementing this strategy involves researching local markets, securing financing, and finding suitable multi-unit properties that can provide positive cash flow.