Suggestions just need some advice on my new property

[Anthony W.]

Hello everyone! Just wanted to ask a quick question. I am a long-distance investor, how can I leverage my investment property to get another one? I know I have equity but don't know how to get access to it.

1. Looked into refinancing.....to expense and the rate quotes I have been getting are mid-8s.
2. I haven't saved up enough to just outright do another 20% down,
3. Been looking for partners but everyone is tapped that I know or just too scared lol.

Any advice is welcome of course and I'm just trying to get different points of view.

[Jeffrey Albaum]

Hi Anthony! With rates where they are right now, pulling cash out will just be expensive, plain and simple. Even if you can pull cash out, your payments will be significantly increased. A good option might be to find a local credit union to look into an equity line of credit on your investment property. I know most banks won't do this (they only do equity lines for your primary residence, hence the term HELOC), but I think that some institutions will do a line of credit on an investment property. The thought process being even if your payments go up, as long as you're not bleeding cash, you can buy more real estate which will increase your overall cash flow.