All Forum Posts by: Ganessan P.

@Steven Gebhardt - HELOC and Home Equity Loan both leverages your Equity. In your example... Yes you would have 0$ towards your original home after the Home Equity loan.

Home Equity Loan - Its an Amortization schedule where you know, you will paying the interests in the beginnings of your schedule. You pay your principal but you can take it out the principal.

HELOC - You pay the interest for the amount you have withdrawn. You can put back the principal at any time and you can withdraw at any as well ( during the draw period typically 10 years ) . I love HELOC if you know there is going to some cash flow and you want the flexibility of taking out and putting it back. I hope it helps.

Anyone got experience in Seguin, TX market. Would like to learn your experience on investing, rental demands and cashflow.

Appreciate your inputs. !

@Bill Fuller - How about HELOC ? It allows you to pull Equity from your properties and pay "Interest Only" during the withdrawal period. It's an amazing product. Even if you are not going to use it now, i would recommend to open HELOC and have the funds available for your projects. You only pay interest when you start withdrawing the funds.

@Tim Scroggins - I assume this is your first deal. Any first deal is for experience and knowledge. If the number makes sense and at least break even or little profit i would go for it.

@Victor Yap - Welcome to BP! Yes, it's a very interesting and fascinating world ! Happy to connect.

@Joseph Weisenbloom - Let me know if you still need one. Please PM me.

I am also curious about this. In our market we are competing against the cash buyers who are primarily from CA and buy bunch of properties during the weekend and leave. We are up against those cash buyers. 

I am hearing different things about Federal Tax Lien ( FTL ) on the property. They can only go away if you wait 120 days. Meaning, let's say there is FTL on 1st April and it can only go away if we wait till 1st August. Within those 120 days, can i buy it..  and wait for 120 days to reach and sell it. Am i understanding correct ? Can you please share your experience with  FTL ?

@Parth Patel Like others said location really matters. Get the rental Comps from your real estate agent. I also do the same in zillow and see in the maps how many rentals are vacant now, and how long has been sitting in the market. Getting the Rental COMPS from the realtor would be a great idea.

@Armand P. - I would go for HELOC, yes the interest rate is variable, i don't see the interest rate is going to increase in near future. Also, in HELOC you pay interest for the amount you have withdrawn which is not the case for refi which is purley on Amortization schedule where you pay ton of interest way early in your schedule. Shop around you will find lender who would do HELOC with promotional rates of .99% for the first 9-12 months.. Google it.. and make ton of phone calls/