Strategy for buying 12 rental properties this year
Our goal for 2018 is to own 12 rental properties. We are newbie investors with 1 SFH under our belt. We have $27k in an IRA that we are using to help us kick off our purchases. The price range for the homes is around $50k each. So purchasing the first 2 is pretty straight forward (20% down /conventional loans). After that we plan on tapping into a HELOC to purchase 3 more in the 2nd quarter. After this, I'm a little unsure how to purchase the remaining 5 properties as we won't have anymore cash reserves for the 20% down needed for either conventional or hard money loans. We thought seller financing could be an option, but doubtful we can get all 5 this way and we would still need money to put down. We've also learned about a company named fund and grow that can access business funding via credit cards. The money is interest free for 6-18mos. Figured we could use this for the down, but then we would need money to pay the CC back after 6-18 mos. In addition, we are going to start the year wholesaling properties to raise capital. Does anyone have advice on how to move forward? Would love some guidance!!