Low low interest $5m loan... Now what?!
Long story short. I have a duplex rental and a single family house. Getting divorced and the wife gets the house, I get the duplex as far as assets.
I am an architect during the day and have been doing high end and deep remodel/additions at night. I typically aim to make at least $100k per flip.
I love flipping but it was an always a means to buy more rentals. Buying rentals in the Utah market right now is hard with the high purchase costs so I have yet to buy more than my duplex.
However, I found a loan with less than 1% interest that I will be closing on in about two months. My question is what would you do given my scenario? Right now I plan on doing a few flips simultaneously but I'm torn on what to do about the rentals and how to maximize my loan over the 7 year term.
Do I pay off my current properties and find good deal properties and pay cash up front? Or do I find the good rental deals and finance them with loans to keep my equity?
My ideal situation is to pay back the entire loan and interest over the 7 years as well as having a minimum of $20k/month in cash flow.
Curious to hear what you think I should do or what you would do if I were you! Go!