House paid off, should I buy a second property?

[Zariyan S.]

Hello,

I currently have a paid off house and a HELOC Worth 250k, which I will be using to buy a rental property.

My wife and I were thinking to get started we should buy another house where we would consider living for 4-5 years, and rent out the primary house to pay off the new one. Do you think this would be a good strategy for someone who is interested in getting into real estate investing, considering the fact our house is already paid off?

Also when we move to the new house what happens to our line of credit? Will the line of credit still stay with us? Should we even tell the bank. We don’t want to lose the line of credit in case another deals comes up in the future.

[Sean Lunny]

Hey Zariyan!

The answer is YES YES YES. Go get that second building. Use that line of credit to purchase something else or multiple something elses lol.

If you DONT use that line of credit to buy another and move, that should still be available to you as far as I know.

Hope that helps!