Buying new home and renting existing

[Chapman Paret]

I’m new to real estate investing and could really use some guidance. My wife and I currently own our home here in Virginia and are looking to move into a bigger place in a community that’s better for our children.

Here’s our situation:

• We have about $100k in equity in our current home.
• I’d love to keep our current house as a rental instead of selling it.
• We’re trying to figure out the best financing strategy that would allow us to purchase our next home while still holding on to this one.

Questions I’m wrestling with:

1. Should I look at a cash-out refinance or a HELOC on my current property?
2. What are the pros and cons of keeping the house as a rental versus selling it to roll equity into the new place?
3. Are there any strategies new investors commonly use to balance personal home upgrades with starting a rental portfolio?

Any advice from people who’ve gone through a similar transition would be hugely appreciated.

Thank you!

[Amy Morgan]

A good place to start is having a conversation with a great lender to see what's possible for your situation.