Why your exit strategy is important when House Hacking

Happy Humpday House Hacking!! Okay so everyone probably knows what an exit strategy is in life, but some may not know how that applies to House Hacking.  Today we’re going to talk about what is an exit strategy, why it’s crucial when House hacking and, crunch the numbers between a purchase with an exit strategy and a purchase without an exit strategy.  

Okay so in real estate, an exit strategy

    1.  When you plan on selling it
    2.  How you plan to do that
    3.  How that benefits you from a profit standpoint

Now, why is this important in House Hacking?  Well, if you didn’t know by now, if you are a House Hacker you are essentially a real estate investor.  And in real estate you need to understand the following concepts:

    1.  Real estate investors buy properties based off of logic and numbers, (not emotions) with their exit strategy in mind. 

    2. When you purchase a property based on emotions, hands down you are over paying.

    3.  The best time to purchase real estate is NOW, not next week, not next month or year.  Because if you need time to sleep on it, chances are someone is already sleeping in it.

We’ll save those concepts for another today, but let’s stay focused on Exit strategies.  So, why is this important?  Because when you have calculated your estimated rents, expenses and periodic fees and crunch them correctly, you have no surprises when it comes time to selling your property.  Now, market trends are inevitable and unpredictable, but the great part is that if you have calculated the numbers correctly and purchased with an investor mindset, you can continue to hold the property, rent it out and receive monthly cash flow until the market goes back up.

The best way to explain is to show you.  Here we go!

(Start at 2:20 in video)

I hoped you found this helpful and if you did be sure to comment below. Thanks so much for watching and until next week, Happy House Hacking!

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