All Forum Posts by: Justin Phillips

@Taylor Thorne My wife and I had a similar Sell/Rent dilemma with our previous primary, and we decided that keeping it as a rental, while retaining access to equity was the best of both worlds. We ReFi'd into a very specialized 1st position line of credit, that's tied to a zero balance sweep checking account. All regular checking deposits are swept directly towards our remaining balance, saving us a ton in interest cost. Whenever a bill is due, it's swept back off our line and goes out to pay the bill. It allows our deposits to work for us, not the bank. When the market turns are deals are more readily available, we'll simply write a check from our line and put that money to work. So we don't pay for access to equity until we use it. 
It's been a great tool for us, we've seen 20%+ appreciation since we got it in September and have also enjoyed the monthly cashflow. 
Your cashflow isn't huge, but if you believe in your area and prefer to keep it, I can't recommend this loan style enough! 

@Mario Valenzuela We're glad to have you back on the investing side of things, congrats on the deal Mario!

@William Mitchell Welcome William! I'm in Gilbert as well, crazy hot market we're in with more exciting developments coming down the pipeline! 

High tide raises all ships! These new plants and jobs definitely give this strong market more future staying power. Exciting times ahead! 

Congrats, hopefully the first of many!

@Erandi Lechuga I'll shoot you a PM with the info. This loan is nice, because the ZBA automates everything. You don't need to play the transfer game, it does all the work for you. 

@Erandi Lechuga To echo everyone else, Heloc is a great way to do it. To got a step further, I'm a huge proponent of a very specialized, 1st position Heloc that's tied to a zero balance sweep checking account. With that sweep checking account, all normal banking deposits are automatically swept towards your remaining balance, saving you interest until they need to go out to pay bills. 
It allows you to profit off your deposits not the bank, while accessing equity for 30 years, and saving tons of interest. You don't pay for that equity until you use it, and you can re-use it many times of the term to fund multiple deals. It's been an awesome tool for my investing. 

@Jeremy Zabala How is the equity looking in your rental? You could put a Heloc on it if you have good equity position...

If anyone knows of one, it will be @Nathan Gesner

@Manraj Singh Pretty similar overall. Personal LOCs are typically for debt consolidation or possibly short term investments. Credit cards are more for day to day, but can also make sense for investing with certain promos. Neither will affect DTI with no balance.
I'd definitely go with Heloc over either of those. Much cheaper money, and more flexibility.