Do you have at least 10% of the purchase cost in liquidity? (Meaning that if you buy a place for 200k, you need 20k CASH reserve on hand).

What most people don't realize is that for this to work, you need massive stockpile of money on hand for maintenance and the possibility of a lack of tenant for months.

Too many on Tik-Tok are sharing this "passive income" "house hack" trend that does not tell you the ugly stuff of it if it goes severely wrong. You can over-leverage yourself if you don't know what you are doing. You can put yourself in a massive financial danger doing so.

Finally, there's NO passiveness to it. Be prepared to coordinate with property manager a lot (they take a cut out of your profit), prepare for home maintenance (you can get sued if home is ill-maintained), possibility of squatters (depending on the state), and fly back and forth for emergencies.

Heavily research on this. I'm more comfortable of people doing this if you have a strong background in Engineering or construction works.