Opinions on my next move
Hi guys, I’m a rookie investor, I own a duplex that iv been living in for 5 years. The market I live in isn’t the best market to invest in now. I’m currently putting in offers in a new market in Syracuse Ny, because of job opportunities there and the market is more affordable. I have over 100,000 in equity and no current debt. But I’m looking to scale my portfolio using the equity in my current house. What would be the best route to scale my portfolio with cashflow being most important?
Most Popular Reply
@Justin Scott Probably open a LOC on the current duplex, combine that with cash (you, OPM, HM), and BRRRR a property in Syracuse.
We're getting into a buyers market. You should have more leverage. If you're able to make low cash offers, add value, and cash out after a rehab you'll be way ahead. Distressed properties come with problems but solving them equals equity which is cash in your pocket.
The other option is buying another property with savings, turn-key, or new construction. I would not pull equity from the duplex to buy something like that. I'd rather buy below market, create value, and pay off a LOC, private, or HM lender. That way you're not hurting the duplex you worked so hard for to buy in the first place.