Looking to get started

[Sean Tharp]

Hello,

My name is Sean and I am looking for some opinions. I am set on becoming a real estate investor, but I don't have much capital. What I do have is some equity in my primary residence. If I am planning on moving within the next couple years, would it be a decent strategy to refinance my primary, rent it out (would cash flow), and purchase a new primary?

I would use some of the refinance funds for a down payment on the new primary and then put the rest away for an emergency fund for the rental. Is this wise? How would I scale up from there?

Thank you,

Sean Tharp

[Tanner Sherman]

That is a terrific way to do it if your current home will cashflow. If you can do that once per year you will have quite the portfolio built up in 5-10 years!