Home Equity for Buying Second Investment Property?

[John Conte]

I’m invested in cleveland, out of state, and got my first property in 2018. Paid in cash, and several upgrades have been made since, so i have a good amount of equity to work with, around 100k, the first property having been bought at 85. I’m curious what people’s thoughts are. My first property is flowing at about 1.5% at half occupancy, so depending on the interest rate covering the cost of a loan with even one tenant in a similarly structured building (3-5 unit) theoretically covering costs at least. My concerns would be stretching myself too thin, as my income is nothing special, I still have student loans, though they are below 30k at this point, and the looming recession could throw a wrench in the whole thing, especially in a place like Cleveland where a the last recession all but broke it. What are your guys’ thoughts about this concept?