Private money HELOC

[Rachel Luoto]

Hi BP, How should I structure this partnership? My parents are willing to "play bank" out of their HELOC (variable rate 4.5% base). What kind of agreement/return is typical? Would you do this over a conventional loan? FHA? Thank you for your input!

[Rachel Luoto]

Everyone, thank you for your input! Currently looking for both buy and hold rentals and flips at the same time, my market supports both types of investment when done right, and there is enough available in the HELOC to make cash offers. I'm looking at FHA for an house-hack situation.

I will probably be asking a lot more questions as I go through the process! My goal is to have (combined with my boyfriend who is also buying) 1 million in assets by 2018