Hello all, I am a newbie ready to close on my first multifamily property in the Sacramento area. I pulled a HELOC on my primary to finance our new purchase. Was wanting to get any ideas or contacts I can utilize moving forward when it comes to financing the next one. Any feedback is much appreciated. Thanks
Originally posted by @Lee Ripma :
@Paul Rumolo Add value to this one, refinance, buy another one!
So essentially utilize the Brrrr strategy? So in order to refinance I have to wait 6 months of seasoning?
Would anybody recommend a portfolio loan?
How large is the MF property? If you are using commercial there may not be seasoning. Yes, BRRR. In my opinion, if there is not value add then there is no point unless you have a TON of cash. I like to recycle the same capital over and over, hence BRRR. All commercial investing is BRRR, raise income, reduce expenses, raise value of property.
Paul, congrats on taking a big step towards your REI goals!! I would suggest this. Create an excel doc, or use the docs available here on BP ( for pro members only) to create a LEGIT property evaluation sheet that you can present to a creative investor. "women lie, men lie, numbers DONT lie" as the great poet Lil' Wayne once said lol. Creating this doc allows you to walk into a bank, a private investor office, even a family friend with big pockets. To say here the property, I've crunched all the numbers and heres a pretty once sheet that will put some concrete evidence behind the words I am putting out there.
If you need any help with this feel free to reach out!