Many first time home buyers struggle with this question. Do I buy a starter home that isn't quite what you want, or do you buy a multi-unit and owner occupy. There is compelling arguments for both sides, and it is a question that should be thought about long and hard, especially if you are going to buy a 1-4 unit and become a professional landlord.
Many first time home buyers are not even aware that they can purchase a 1-4 family building with the same financing that is available to them for single family homes. Buying a multi family is a great way to leverage yourself into a larger purchase. Things to consider when buying a multi family include, but of course are not limited to:
- Do you know enough about property management to manage the property yourself
- Do you want to be a "live in landlord"
- Can you stomach the months of no rent, or worse vacancies
- Do you believe that the area you buy in is going to give strong rents in the future
Having a real estate agent who has experience with multi units can make a huge difference in your crucial first decision as a home buyer.