Financing Options for Small Multifamily in Philly Suburb

[Oscar Beteta]

Hi everyone!

This is officially my first post. I've been studying a lot about real estate investing (especially buy and hold) for the last couple of months. I've also gotten very involved with the local REIA group (DIG in Philly) to expand my network. I'd love to be able to find a deal this summer and start my house-hacking adventure. I'm looking for a small multifamily unit around the surburbs (King of Prussia, Lansdale, Conshohocken, Willow Grove, Abington, etc) of Philadelphia.

 My main question in this post is related to creative financing options for my current situation.  I'm a 30 year old chemical engineer with a steady job and generous income.  Credit score is 800.  I own a single family property in Blue Bell, PA which I bought in 2011; I have about $100K in equity and ~$10K in cash savings.  I would like to turn my current single family property into a rental and buy a small multifamily property where I can house hack in.  The first thing that comes to mind is that I can use a home equity line of credit to help finance my next property purchase.  I'm currently researching this.

What other creative options are there available that I can look further into?  Any advice or feedback would be much appreciated!!

[Alex Deacon]

@Oscar Beteta your primary strategy as an investor is to use other peoples money and leverage. Anytime you can leverage your time and financing do it. Just be careful not to over leverage until your Real estate IQ is higher.