1st time deal: Plan Question
For my first potential deal (2 family, 30-40k - 2%/50% rules in place). In the interest of making my first deal at the lowest possible price, what do you think about my borrowing a business line of credit (from my current business) for the full purchase price, as opposed to financing 80/20. Now, I may be wrong, but if I borrow a line of credit (at 6.5%, which I could pay off over 30 years -the rate is not fixed), that would technically be paying the seller in "cash", right? From there, I'd re-invest through equity gained from that purchase.
So again:
Take out a business line of credit and pay in full, in the interest of obtaining the lowest possible first deal price, then building through equity -bad idea?
OR
I could use money borrowed for multiple down payments -but that may lessen my negotiating leverage.
(My plan is to buy and hold as a long-term investment)