my second deal am I doing it correctly?
First deal, I bought an unfinished half built house had to use my HELOC from my existing residence (could not get any other type of financing). I took 2 years killing myself doing most of the work myself, once I had occupancy permit, I was able to get a cash out 30 year mortgage on property and pay back my heloc on the residence I was living in at the time. Its an upscale home and I have plenty of equity in it.
I moved into the house and old house is rented now (18 month signed lease for a few months)
second deal I am about to do: I am getting ready to close on a bank owned house in a week "cash as is only deal". The house needs work but not much (interior painting, new carpets, new appliances, broken window, etc....) Overall the house has really good bones and is in good shape. I am using my heloc again to purchase house. I will do repairs myself and I should have it ready to be rented in a month. My lender said I cant get a traditional mortgage until It has been titled in my name for 6 months. I plan in 6 months to get a cash out 30 year loan again (rates seem to be same as typical mortgage) and pay off my heloc.
I plan on doing the same thing again in 6 months, just wanted opinions on my strategy. I am not a fulltime in realestate, but would like to have 9 or 10 rentals and manage them myself eventually.