Do anybody buy using cash ?

[Isiah Ferguson]

It seem like paying cash for a property and keeping is free & clear isn’t good. But does anyone has a free & clear portfolio ? What are the benefits of being free & clear. I have 2 free & clear rentals and feels good but I am tempted to use leverage to scale. On the other hand, I feel like it better to save up the cash again n buy other free n clear rental. What u think ? 

[Jon McCarron]

@Isiah Ferguson

I think it all depends on your strategy. I think the free and clear strategy would take too long (for me). Saving up to buy a 3 family in my area would require at least 600k, then probably need money for repairs after that. If your price point is much lower than that, maybe it only takes a few months of savings to buy free and clear, then it could definitely make sense to stay free and clear.

Using leverage can speed up the building of your portfolio, if that is your goal! If not, slow and steady income might not be a bad alternative.