All Forum Posts by: Michelle Harrington

That makes sense! my cashflow will be decreased because of the interest of HELOC. Thank you @Tucker Cummings!

Thank you @Ryan Howell! You helped me to have a clear understanding and finalize my decision. I will use my savings first and will remember that I have HELOC to pull anytime I need it. I will re-assess myself after couple of months to see if I would need the HELOC.

That is smart @John Fider! I have read some stories of other investors that used HELOC for dp too.

My godfather had a bad experience and he almost lost his 2 properties. Then he kept telling me to be careful with HELOC. I guess that scared me.

You used the HELOC right and you definitely know what you are doing! Thanks for sharing!

Hi AJ H.,

I see your point. I understand what you mean and of course it makes sense! It's more of an advantage to use my own money to fund the DP and save the equity of my home in case I needed it. Thank you!

@Joshua McMillion

That makes sense. Thank you!!

Hello Bigger Pockets Family! 

Just wondering, if you are a new investor buying a rental property and you have an equity from your personal home, which one would you use for a DP? HELOC, Home Equity Loan, or your savings? and why?

In regards to HELOC and Home Equity Loan, are this both risky? what are the things to watch for or be careful of?

Thank you in advance! your response is much appreciated!

@Alex Olson, 

I’m so glad to get an input from someone who is from the area. I will change my vacancy rate to standard 5% to be more realistic. Thank you for your advice!

@Tim Herman what is 33 1/3 months mean please? anyway, I just thought that because of this location is at C/B class area, the 3% for vacancy should be okay. This house is being flipped by the seller. It will be turned in to me after the seller's is done renovating it which is around April 26. But you made a good point about the capex budget. I like how you explained it in detail with an example. I should review my capex budget again. I really appreciate your response! Thank you so much for sharing!

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*This link comes directly from our calculators, based on information input by the member who posted.

Hi Bigger Pockets Community! May I get an input about this property please? Anything would definitely appreciated!;)

A market that is an investor friendly, that's where I need to be! I live here in San Jose, CA.. And just recently, me and my husband has been considering moving to a different state. I know that its better to invest in the market where you can actually see and visit your property at times. Atleast for new investors I guess. 

Thank you for sharing!