House Hack Breakeven Calculator

How it works

Collected rent = units × rent × (1 − vacancy%) · Net cost = mortgage (PITI) + other costs − collected rent · Breakeven rent/unit = total cost ÷ (units × (1 − vacancy%))

House hacking means occupying one part of a property and renting the rest so tenants offset your own housing cost. The key figure is net housing cost: your full carrying cost minus the rent you collect from the other units or rooms. When collected rent equals your cost you have hit breakeven and effectively live for free; when it exceeds your cost the property pays you to live there. Because you occupy a unit, this differs from a pure rental — you are subsidizing your own living expense rather than seeking a standalone return.

Worked example

Your mortgage (PITI) is $2,400 and other costs are $400, so total housing cost is $2,800. You rent two rooms at $950 each with a 6% vacancy allowance, collecting about $1,786. Net housing cost drops to $1,014 a month. To live entirely for free you would need each room to bring in about $1,489.

Frequently asked questions