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Updated almost 5 years ago on . Most recent reply

User Stats

8
Posts
2
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Kyle Doriety
  • Florence, SC
2
Votes |
8
Posts

Leverage - too much or not enough??

Kyle Doriety
  • Florence, SC
Posted

So I’m about to close on my first investment property in a week. I’ve looked around the forums and haven’t been able to find a clear answer to my question, although I feel I’ve just overlooked it.

Is there a “rule of thumb” or something of the sort to optimal leverage? Possibly a debt to income, percentage or something? Thanks in advance for any advice

Most Popular Reply

User Stats

27
Posts
18
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Geoff Perkins
  • Rental Property Investor
  • Prosper, Tx
18
Votes |
27
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Geoff Perkins
  • Rental Property Investor
  • Prosper, Tx
Replied

@Kyle Doriety my take is that I want as much leverage as is financially feasible. As long as you have a decent amount of net income and enough reserves for several months, then I would leverage the property as much as you can.

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