Using HELOC to fund investment property

[Ryan Trygar]

Hi all-

I am considering using a HELOC on my primary residence to fund the down payment and furnishing costs on an investment property that will be used as a medium term rental. What strategies could be used to pay down the HELOC relatively quickly? I will be buying a turn-key place so BRRR wouldn't apply here. I plan on reusing the HELOC to scale and fund future investments as well.

[Suzie Remilien]

@Ryan TrygarYou could try to refi the HELOC to get a larger line if there is more equity in your primary home.

Another option is to get a HELOC on the investment property once you have built some equity to fund those future deals. Just make sure to keep an adequate gap between income and debt to continue to qualify for future mortgages.