Updated almost 2 years ago on . Most recent reply
Make it make sense please!
Someone please explain to me how to create my first cash flow property...I'll use easy round numbers to simplify. I pay $1000 per month on my own mortgage. I have 100k equity I can access for a HELOC. I open a HELOC for 50k paying $500 per month now my monthly "mortgage" is $1500. I use that 50k to buy another property for 150k which will now have another $1000 mortgage. I rent that 2nd property out for $1500 per month which I will use to pay the new mortgage and my new HELOC loan. Now my own mortgage is paid, new HELOC and new property mortgage is paid which leaves me no additional cash flow. Now how do I scale and buy another property since I already used a HELOC on my property?? Not sure if all that makes sense but I really am dedicated to learning and getting as much knowledge as I can! Thanks for reading this far and thanks for your input!