Strategies for scaling my condo portfolio

[Antonio Maria Farinha]

I have 3 condos in Hudson county (New Jersey) for a few years now. Trying to scale the business to a point where I can do it for a living but not really sure the best way. My wife has a strong W-2 but I still need to be able to make some money. Any suggestions/ideas/plans would be appreciated.

[Logan Singleton]

Hi Antonio,

The most common way investors scale their portfolios is as follows:

1) A cash-out refinance on their current investment properties. This isn't always the best option since current rates are in the 6.25 - 7.25% range for DSCR loans.

2) A HELOC on their primary residence. This option comes down to the investor's risk tolerance since you will likely leverage your primary home at a variable rate.

3) The BRRRR method since most hard money lenders will allow you to acquire distress payments with as little as 10% down and grant you access to rehab funding via a bridge loan. Once the property is stabilized, refinance into a DSCR or Conventional loan.