Looking for advice on heloc

[Aaron Kirsch]

Looking for some advice on what I should do with a 235k heloc. Should I buy a single family / duplex outright with the heloc or should I use it for a down payment on something bigger such as a 4 plex? 

[Caleb Brown]

I would buy a property that you can refi to pay off the HELOC. When you use the HELOC as a down payment your cashflow is slim to none, it will be eaten up. If you use the HELOC to buy a value add property then refinance into long term debt then that'd make sense. The refi will pay off the HELOC so you can repeat