New investor need guidance

1 Reply

Hi All,

This is my first post in bigger pockets. I have been a long time member.

I now have 2 properties. Property #1 Is a three family and Property #2  is a Duplex that I owner occupy and rent out the other half.

Property #1 is valued at around 500k. It currently has a 300k mortgage is cash flowing $1,400.00 a month

Property#2 was a BRRR and is valued around 900k. I have a mortgage of 585k and I come out of pocket 1k per month to cover the mortgage and another $ 500 a month for the utilities. If I were to move from this property my unit could bring in roughly 4k a month, cash flowing 2.5k a month.

I am looking to get my next property and wanted to get input on HELOC compared to keeping equity on the property. What would your next move be? I currently would not be able to afford another property for another year without the HELOC but rates are so low I'm torn.

Christian, you are clearly getting off to a great start.  To try to answer about the next move would require more info about you, like:

Are you a 1 income household?  How high & how stable is your income?

Where would you live if you moved out?  What would the rent be or would you house hack the next place, if so, at what price?

Could you do a cash out refi on property #1?

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

We hate spam just as much as you