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All Forum Posts by: Taylor Cole

Taylor Cole has started 1 posts and replied 3 times.

Post: Putting More Equity Into A Single Property vs Diversifying

Taylor ColePosted
  • Investor
  • Glendale, CA
  • Posts 3
  • Votes 1
Quote from @John Morgan:

@Taylor Cole

Put 20% down and buy as many as you can. I’ve bought 10 rentals from cash out refis. I’m ok with leveraging to scale up. Refi til you die!


Thank you! Short, sweet and to the point. I like the idea of this strategy. 

Post: Putting More Equity Into A Single Property vs Diversifying

Taylor ColePosted
  • Investor
  • Glendale, CA
  • Posts 3
  • Votes 1

@Greg Scott Thank you so much for the detailed response. This is where my gut was leaning!

Post: Putting More Equity Into A Single Property vs Diversifying

Taylor ColePosted
  • Investor
  • Glendale, CA
  • Posts 3
  • Votes 1

Hello, All! This is my first time posting on BP, and I am a very new investor. 

For the sake of this question, let's use a $200,000 home(s) for my below example:

If all other factors are neutral, say one had $120,000 worth of equity to put down for a leveraged investment, would one traditionally benefit more from putting all of that equity into a single property (more equity, lower interest rates, no PMI, lower monthly payment etc) OR would one typically benefit more by investing at or below the traditional 20% down and purchasing 3 properties with $40,000 down for each (more portfolio diversity, risk mitigation, potentially more cashflow etc)?

Does my above question have a case-by-case answer (e.g. do the math and see which specific investment(s) has more potential for a higher return and higher cashflow) OR is there an industry-standard cookie-cutter answer (e.g. NEVER do this or ALWAYS do that, when presented the opportunity)?                       
Thank you all so much, in advance.