All Forum Posts by: Jarred Cline
Jarred Cline has started 1 posts and replied 3 times.
@Julie Knutson that’s the info I was looking for. Both my wife and I have solid well paying jobs. Good life insurance, and decent health benefits. But if something catastrophic happened we could be in trouble if we are stretched thin. You put this in a nice perspective about shielding from every angle I hadn’t really thought of it that way.
Quote from @Caleb Brown:
I would not touch your 401K, I would keep that and continue to put money into it. Can you move out of your current home and house hack another? Owner occupant loans can be 3-5% down, you can target a 2-4 unit. Sell or rent out your current home. If you did a HELOC it would be ideal to target a BRRR or a flip. I would not use a HELOC as a DP for a long term loan. You can use a HELOC to fund a hard money loan. This is riskier and has more moving parts. Outside of that I would continue to save and look into hard money/private money loans.
House hacking is out with my family, Might be better to save, I think Private loan I am running into the same issue as having to repayments to make unless I can find someone to give me a good rate on that loan. Thanks for the info!
Currently we have 28k in savings and we are looking into getting into multi-family investing. This is something that we do not want to touch if we can avoid it. With needing a 20% down payment I have kicked around the idea of cashing out my 401k (my work plan does not allow for a loan). My 401k is only 4 years old and is sitting around the 40k mark in value right now. I am aware the penalty will drop me down to $28k after penalties and taxes. The way I look at it there is more potential gains in the real estate side of investing rather than my 401k. I am 35 and I could start my 401k over with and use the cash flow from properties and savings going forward to re-invest in more properties. The other option is a HELOC, but then this would be two payments 1 to cover the mortgage and 2 to pay on the HELOC. Has anyone been in this situation. Open to any information that I may have missed here as this would be my first property. Thank you!