I'm currently in a 2b/2ba in East Nashville. I just took out a HELOC on my mortgage (conventional loan) with the hopes of buying a larger place in the same area, and using my current place as a short-term or medium-term rental property. My cash flow would range from $600-1000+/month on this property.
My HELOC could cover a good portion of the down payment necessary, but was hoping to get some guidance on other creative financing strategies/tips so I can begin to have some cash flow on my current house. My credit is average right now after my divorce, but is trending up! I'm eligible for a FHA loan for the future property.
Hey @Lydia Wright - you might want to consider potentially partnering up with someone on the STR of your current primary in return for a lump sum of cash that you could then use towards your next home.
Hey @Lydia Wright - you might want to consider potentially partnering up with someone on the STR of your current primary in return for a lump sum of cash that you could then use towards your next home.
Thanks, Mohammed!
What are some creative ways to word a partnership like this? They will receive a certain percentage of our profits until we pay them back with some interest? I think we have a solid plan here, but would love some guidance on how to find these partners and how to create a good proposal for their loan!
Hi @Lydia Wright - going to a real estate investor's networking event or meetup would be the first step.
Just let people know what you're trying to do and 9/10 times they will either know someone who's open to it or can at least point you in the right direction of someone who can help.