Would a Equality Loan work with BURR

6 Replies

If my parents are willing to help me out with a equality loan, can I use that to BURR? But a house with the equality loan then refinance and am I able to then buy another house with it ?

@Grant Baker there could be some credit downsides. Because you are going to be utilizing a large percentage of a large line of credit, it could affect their ability to get credit if you are maxing out that line.

@Grant Baker How long are your parents looking to let the equity loan? The only problem with you using Brrrr, is that you are not going to see 200% return. The money you make will either be given back to your parents or to buy another house. You will need to buy and rehab smartly so you not only not leave money in the home but hopefully pull more than invested out. I am no pro, but this is what I understand from reading David Greene's book on the process. Good luck.