We are looking at closing soon, barring a catastrophe, on our first investment which we intend to flip. We plan to purchase the home outright with a HELOC we have out currently with plenty of access to funds left over. We are planning on going for a 0% interest CC, ideally with cash back to fund the rehab but also to make the HELOC payments once we tap into it. The other side of the coin is that we have been considering then, paying the CC bill with the HELOC and of course after selling, paying both back off completely. Has anybody ever used this tactic? Thanks ahead of time!
I'm sure people have used this but be careful with it as it can be a disaster. you won't get much back in rewards if that is what you are hoping for. Cash advance on CC are high if that's what you are aiming for. I'm using something similar now, i'm purchasing everything on my cc now for I can have cash to close and rehab my property under contract, property will be in my fiancée name, so i'm using up my credit. Just plan for waste case scenario and make sure your numbers are good on the rehab. Best of Luck.
Jonathan, thanks for the insight. Im not too concerned with the rewards, just hoping to get a little money back this way which we'd throw back on the HELOC. I'll keep this posted to relay how it goes. Thanks again, and I hope all is well in NJ!