Use HELOC To Grow? Use $15k in Equity for Next Property?
I currently have a rental property that was appraised for $11,000 more than its original value (pre renovation). I am currently rehabbing the home, refinishing flooring, paint, and making the basement a rec room. I'm guessing that once renovations are completed it would appraise for $15k or so more than what I bought it for. With $15k in equity, could I use that to put towards another down payment for my next rental? If so, is this enough of a spread for it to be worth while? What kind of interest would I expect? Has anyone done this? I'm new in my investing life, so using unique leveraging/financing is new to me and would help me grow. Thank you for contributing you knowledge on the forums. It has helped me significantly in this venture.