Updated almost 7 years ago on . Most recent reply
Wife is not comfortable REI
I'm a new investor and I'm on the hunt for my first deal. I've been narrowing down my search and I'd like to start in smaller, commercial multi family (5+ units). The issue I have is the up front capitol. We recently built a house and put the large majority of our liquid capitol in it to keep our mortgage down. This way, when I finally get to the point of leaving my day job we won't have a huge monthly payment to cover, and we're not paying as much in interest. Unfortunately this leaves with with very little to invest.
My issue is this, I'm thinking about using a HELOC to start investing but I will only do this if my wife is comfortable with it (being that this is our primary residence). I chose a HELOC because of the lower risk of default, and the fact that it won't change our mortgage payment like a REFI would. Because her parents were both agents before the crash and basically lost everything, she's hesitant about investing. How can I have the conversation with her that will put her mind at ease? Should I even try to push the issue if she's not comfortable? I'd like to have access to the 200k or so of equity I have in my home, but it's not worth her laying awake at night stressed about the risk. Thoughts?
Most Popular Reply
Don’t put your personal residence up on the line to buy real estate . Having your duplex taken down the street is not as bad as your family being thrown out in the steeet . Caleb is correct helocs are risky .
Why do you think you need 5+units right out of that gate ? Have you been watching grant Cardone motivational crap online ? You don’t know what your doing yet bro you don’t have the knowledge and skill required even if you had the cash in your pocket .get yourself a duplex and learn the business some without going into debt up to your eyeballs right away . Once the wife sees the proof of concept And the money coming in she will wake up soon enough . Don’t try to push or overly convince her she’s just not ready to be strong armed into it , you’ll just cause strife in your marriage