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Updated over 1 year ago on . Most recent reply
Using a HELOC to invest
Hello,
I live in Orlando, FL and currently in contract on my first section-8 property in Birmingham, AL. So far, the process has been great. I am looking to potentially tap into my primary home equity (About $160k), and use that to purchase a second investment property in Birmingham (Cost and rehab), to help scale quicker.
I have a few questions and hoping and veteran can help a rookie out here.
1. Is this something worth doing?
2. If so, should I continue to buy properties using the same initial HELOC funds after doing a cash out refinance or just pay the HELOC off?
I understand there is a risk in everything we do in real estate, and this is no different. I am just looking for advice and any suggestions on how or if I should proceed with this strategy.
Thank You.