Hi guys, we need your opinion please, which will be the best option?

Buy 3 single family homes ( around $40k-$50k each) and then do a HELOC to get 3 more houses and continue with the snow ball effect.

Or ask to a investors bank for a bigger loan using those $120k-$150k as down payment to buy rental properties of course.

Thank you!

@Gissella Irazabal I would do portfolio/investor lender, even though their interest rate not as attractive, you can still find 5-6%. Buying it traditional can save you on interest rate but heloc on the other hand is not fixed rate, as of now my heloc is reaching 6% flexible rate. Also down the line you can get into road block getting more heloc like you mentioned the snowball effect. Commercial heloc on rental property is tougher to get plus as more property u have the more reserve is required, the snow ball effect becomes tiny ball. As for portfolio lender u will see lots of flexibility and time saving and maximizing your downpayment.

I appreciate that you share your experience. I'll keep it in mind.