First Investment Property

[Cody Revel]

Hey there!

I'm aspiring to purchase my first investment property and am wondering if I should Cash out refi (option #1) or HELOC on my home (option #2.)

I bought my home in 2020 for 155k, put 25k into it and it's now worth 240k. With a loan of 120k, we're looking at about 120k in equity.

My initial though is a cash out refi which I can then leverage for another rehab property of which i'll turn it into a rental. From there I could repeat the above steps and get a second property, correct? I believe this is what is called the BRRR method?

Option #3 would be just put 20% down on another property and rehab it with my cash on hand.

Those are just some thoughts, there's so much information out there and i'm in information paralysis and don't know the best way to start my investing career.