All Forum Posts by: Daniel Burrows

@Daniel J Huss

Thanks for the tips. I didn't think about the purchase and then refi option. As you can tell, I'm really new to this. We just paid off the mortgage on our primary residence and don't like the idea of a HELOC, but from a purely financial standpoint, I think it makes sense since we would be paying a lot less in closing costs and can probably get a much better deal on a property.

@Shawn Mcenteer

We're looking into possibly a duplex if we can find a good one, but we're not ruling out SFH's. We'd like something close to where we live so we can have more control (we'll most likely manage the property ourselves). We'd also prefer something that is ready to rent with a low amount of maintenance. But we also don't shy away from doing some rehab if we can get a good deal.

I'm considering taking out a HELOC on my primary residence to purchase my very first rental property. My house is completely paid off and I have $40,000 set aside for a down payment. My agent highly recommended taking out a HELOC since he believes a cash purchase would make me a much stronger buyer and give me more leverage for negotiating, etc. What are the pros and cons to doing this?

@William S.

What are your thought on using a Heloc on your personal residence to purchase a rental property? Or what are your thoughts on Helocs in general? We live in an extremely hot market and would like to stay local, but our agent thinks the most affordable way to purchase is by paying all cash. Our mortgage on our personal residence is fully paid and we have cash set aside that we can put toward a property.