BRRRR with bank loan

[Shiloh Cunningham]

Hello, I just got done listening to the most recent podcast on the BRRRR strategy by David G. In the podcast he mentioned that using a bank loan to originally purchase a BRRRR property is not the preferred way because of the associated closing costs. If going the hard money money route though, don't the points usually come close to what you would pay if you were going through a bank?

[Kevin Romines]

A great strategy is to get a HELOC on your primary to use as down payment money on a fix n flip loan. That would be the least costly as far as closing costs. You can use a Fannie Mae Homestyle renovation on a rental, but the additional hoops and closing costs are not as attractive as the HELOC into a fix n flip would be?

I hope this helps?