Buying 2nd house with HELOC

[Duc Minh Tran]

Hi everyone,

I'm currently owning a house value ~580k with 221k as mortgage (50% down payment when I purchased my first property). 

Now, I'm planning to buy a 2nd home priced ~600k but only have 100k cash for down payment so I'm thinking about taking some equity from my first house and put it into the down payment for the 2nd house. I'm wondering, is it good idea to do it and is it possible at all to apply for HELOC? I'm very new to real estate and don't have a lot of knowledge about it neither. Your answer would help me a lot.

Thank you!

[Michael Pearse]

@Duc Minh Tran Yes, you can use a HELOC to purchase a 2nd home. I highly recommend this as you won't have to put as much money in the deal.

Cheers!