All Forum Posts by: Charles Perez

Did anybody here that has significant wealth through real estate get started with doing a cash-out refinance on their primary home?  I've built significant equity on my primary home in Southern California and am thinking about getting started in real estate investing by doing a cash-out refinance on my primary home...I'm apprehensive however, as some money experts warn against this strategy...what do you think?

Charles

San Diego

Hi everyone,

I'm trying to get started in Real Estate Investing but I'm afraid that prices are too high again in Southern California...Should I wait for prices to drop?  Is it possible to find a great deal during these times? I'm looking to buy a second home as an investment but the prices right now are sky high.  What do you think? 

thanks,

Charles 

San Diego, CA

Hi everyone I'm new here so I don't know I I'm posting my concern/question in the right forum.  I've been reading some books on real estate as well as listening to biggerpockets podcasts and I want to get started with real estate investing but as a newbie I feel apprehensive about getting started...Here is my question: Do you think a cash-out refinance is a good idea? My primary home is currently valued at 450K and I owe 248k...The reason I want to do this is because with the cash-out (50k) I can completely pay-off a second home I purchased 5 yrs. ago in Mexico; the interest rate on the mexican property is 10.5%...The mexican property is a nice two bedroom ocean front condo that I currently rent out for $1200; I purchased the property in Mexico to have as a retirement option in the future (15+years).  Another option is to continue to rent out the mexican property and thus let the renters pay down the mortgage over time and use the cash-out money instead to purchase another home in  the U.S. (Southern California).  What do you think?  -I'm a little scared about either option since I recently read Dave Ramsey's book and he is totally against using any debt as leverage...!  Your opinions and suggestions will be greatly appreciated...

thank you,

Charles