What do you think of my strategy?
So my strategy begins with my wife and myself being able to pull out up to $250k out of my house with a HELOC. Already talked to my lender about this and I've got more than enough equity to pull this amount out. I live in Southern California and after much thought we have decided to invest in Arizona specifically in the Phoenix area. We have a lot of family there and have a property manager that all the family uses and loves. We are looking to buy and hold multi family properties. Ideally we would like to buy properties that need little to no work to rent out but we aren't apposed to a minor rehab. I like the BRRR strategy but get alittle confused on the refinance part. I'm assuming your doing the refinance to pull the money out that you used as a downpayment. But doesn't the property need to go up in Value to be able to refinance? I get confused about that part. Well anyway I'd like to repeat the process and build a business out of it. Let me know what you think
Here's what we are working with:
Age 30
250k HELOC
260k salary
100+k in Roth IRA
20k in liquid cash for investing
Great credit