What to buy with 500k Heloc?

Question

We just got done with our first BRRRR! Even though getting caught in a high interest market we still came out on top with $1200 CFlow thanks to welend. I’m struggling with the next move. What strategy should I use? What property should I buy? Should I wait? I have a heloc of 500k I’m a licensed GC and looking for advice from this awesome group! Thanks in advance!

Alex Gunnerson · Answer

@Dennis Brooks no matter what the market is doing, there is always a reason not to buy a property. Yes interest rates are high, but homes are sitting longer, giving buyers more negotiating power than they have had in the past few years. This is very situational, but in some instances if might make sense to deal with the high interest rates, buy a property that isn't a cash flow king in the first few years, but when rates go down, refinance and you have a nice, cash flowing property. Creative financing is another great way to capitalize on the great deals that are out there now without having to pay the high 7-8% interest rates.

Harrison Chow · Answer

Real Estate in Columbus, OH!

Columbus is a growing city with a vibrant economy. The city has seen substantial job growth and population growth in recent years. The city also has a strong real estate market, with a variety of housing options, from starter homes to luxury homes. Real estate in Columbus is a good long-term investment, as the city is likely to continue to grow and appreciate in value over time. Additionally, rental properties can be a great way to generate income from your real estate investments.

Bob S. · Answer

There are double digit net caps to be had, Buy refi and do again, rinse and repeat

Alex Gunnerson · Answer

Hi Kenny, I'm an agent and investor in Kansas City. Let me know if you'd like to chat!

Kenny Kuramoto · Answer

Also don't forget if you for example want to buy a couple properties let's say 10 SFH for 50k down. Don't forget to add the repayment of the heloc into your calculation. I still think the best use of a heloc is BRRR. I'm having hard time finding BRRR properties though at the places I want to invest..

Kenny Kuramoto · Answer

I'm in the same boat as you as well. I have a 200k heloc but have an equity of 600k. I'm looking for Cashflow properties in Ohio at the moment. Looking at Kansas City next but need to find a agent. Look for a market you want to be in first then reach out to agents. I'm new to this so take my comment very lightly haha

Dennis Brooks · Answer

@Kenny Kuramoto

Thanks Kenny!

What to buy with 500k Heloc?

Most Popular Reply