Curious to know how everyone gets financing for rentals
Greetings everyone. For all those who invest in buy and hold real estate, I'm curious to know what strategies have you used and or use to finance your properties. I'm looking to get into another investment and would like to know what finance options are available. Thanks for any input.
@Howard Pritchett when you get that answer please message me!
@Howard Pritchett I'm using a HELOC on my primary to fund the purchase and rehab costs, then refinancing into a conventional loan after the rehab is complete. From what I've seen HELOCs are just about the cheapest source of funds you come across, mine is currently at 3.25%
I’d be happy to discuss further, feel free to reach out any time!
Personal funds and investing partners. HELOCs are common among many, but I won't risk my family's home just to acquire a rental. There are many other ways to get funds for REI, and "cheap" is not the only factor to consider. If that were the case, people would drive Geos instead of Mercedes.
@Howard Pritchett
Took out a line of credit on a house we owned. We pay for the down payment and the rehab costs using that line of credit and then when we sell, we pay off the line of credit.