Home Equity Loan for Down Payment

[Robert Crull]

Hi Guys,

Just wanted to get your thoughts on this. My family and I are wanting to move into a larger house (Murrieta, CA). We do not have much cash so the purchase of our new home would be contingent on us selling our current home. I was wondering if it was possible to use a home equity loan from my current home and use it as a down payment on our new home. Then I would rent out the old home while we live in the new home.

In theory this sounds good to me but I would like to get your opinion. Thanks guys! :)