House hacking means buying a multi-unit property (duplex, triplex, or fourplex), living in one unit, and renting out the others. The rental income offsets your mortgage — in some cases covering it entirely. It’s one of the most accessible paths to real estate investment because you can use owner-occupied financing (FHA at 3.5% down, conventional at 5% down) rather than the 20-25% required for pure investment properties.
In Denver, duplexes in neighborhoods like Sunnyside, Globeville, Villa Park, and West Colfax range from $500,000-$750,000. A $650,000 duplex with 5% down ($32,500) and a 6% rate generates roughly $3,500/month in mortgage + taxes + insurance. If the rental unit brings in $1,800-$2,200/month (current Denver rents), your effective housing cost drops to $1,300-$1,700/month — significantly below what you’d pay to rent a comparable unit yourself. After 1-2 years, you can move out, rent both units, and repeat with a new property. Talk to us about investment properties in Denver.