Not sure how to move from 1 property to 2! Need help!

[Malachi Chapman]

Hey guys,

So I have my primary residence in Dallas and have been renting it out on Air B&B and living with my parents to see if it would make enough to justify as a rental (which it does thankfully). I don't have enough capital for a down payment on house #2 right now but the plan would be to buy in the next couple of years and keep renting out my current home.
Is now an ok time to take out a HELOC and use that for the down payment/rehab costs of the 2nd home? I know with interest rates being so high it's difficult but with not as many buyers I know I could get below market value most likely. What would be better, do the HELOC now and buy or wait till interest rates drop and save up a down payment over that time?

Any advice is appreciated! Thanks!

[Nathan Gesner]

I'm not a fan of this strategy. The reason you have so much equity to cash out? Pure luck. The equity was gained because the market went crazy, not because you are an investment genius. Don't squander that good luck on an emotional decision.

Hustle, save, educate yourself, and watch the markets. The opportunities will come back, and you'll be better off investing from a position of strength instead of increased risk.