HELOC for Down Payment

3 Replies

Hello!

I am a new real estate investor. I have a fair amount of equity in my current house due to house hacking (~100k). I want to use it to purchase a rental property in the area. I know there are options with HELOC or with a home equity loan. The investment property is priced at $200k. I would use the HELOC for the down payment on the new property. I would still have my existing mortgage, the new mortgage (since it was not all covered by the HELOC), and the line of credit pay back? I apologize if I am using rookie verbiage. I just want to know the best course of action to mobilize my capital. Thank you!

Greetings and welcome 

I have done the same this year I was able to access 80% of equity and use it as down payment and purchased a 3-unit. 

With your equity you should be able to access @60k in equity 

There are other posts if you search the forums under “heloc”