All Forum Posts by: Cason Acor

My parents have used a heloc to purchase a few properties actually. I really like the way they do it.

They're fortunate enough to have several 100K in equity. They take out the heloc and purchase the new property in full. They'll then refinance the new property with a lower, fixed rate mortgage, and use that to pay off the heloc. And then they do it again with another property. They're not rehabbing and renting, because they use this method mainly for vacation properties. But I don't see why the process would not be the same for a BRRRR.

Good luck!

@Ashish Acharya @Brian Eastman

Thanks for the feedback! That’s the answer I was leaning towards in my head. Do either of you have experience managing/owning multiple bank accounts like that? Any strategies or recommendations to keep it organized and effecient?

My question is primarily directed to buy and hold investors who purchase each new property with its own entity (I imagine most will be LLC’s). Do you also open a dedicated bank account for each entity for the purposes of collecting rents and other necessary money management? I understand why doing so would be advantages for record keeping purposes. But I don’t know if this is standard practice, or if regulations require it. It just seems like a lot of hassle to keep everything straight. I would love to hear other input and strategies from more experienced investors. Thank you!

What @Cody Steck said. A good BBA will be for a specific listing. As long as you have that written out, you should be okay to solicit other properties from other agents. But also realize, a lot of agents aren’t going to want to work with you if you don’t sign a BBA, it’s pretty standard practice. Now would be a good time to brush up on Utah’s agency laws. 

Thanks for your post @Account Closed

I appreciate your analysis and share similar feelings. My market in Utah has seen a lot of, in my opinion, unsubstainable growth in prices. I believe we’re at the beginning stages of a market correction. It’ll make for a great time to find more deals!

Congratulations! I hope to be in your footsteps soon!

The Salt Lake City REIA should be a huge asset. I'm going to start attending myself.

This is such an awesome story and a great inspiration! Thank you for your post and providing a roadmap for younger investors such as myself.