Refinance home to buy rentals
Hey everyone! Im new to BP and I started the podcast last week and so far have listened to like 25 podcasts. It has been awesome and
I'm looking for advice on using a HELOC to buy properties. I just purchased my first home, I fixed it up and I added about 30-50k of value with the renovations depends on appraisal, of course. My plan was to refinance and hopefully use that cash to buy my first rental.
I’m extremely motivated to purchase a rental this year or next and if this avenue of getting cash won’t work I will investigate other options. I’m open to suggestions and looking to learn.
Thanks an advance!
Most Popular Reply
Be very selective in what you buy. I maxed out my home equity 2008-2011 when good deals were like whack-a-mole. I also had a solid 401K to bail me out if things went south. Personally, I would not borrow against my residence in the current market except for slam dunk deals. Best, Terrell