Buy Real Estate without selling your Crypto

[Jose F.]

Hi guys

I am looking for insights in this community about what would be for you guys the best approach as crypto investors to use your holdings as collateral to buy assets in real life like real estate, car loans, buy a business etc, investments in general and most important without having to sell your holdings in crypto that will likely go up in value in the future. I have seen platforms that will give you loans while staking but still for a regular car loan or big purchases like a house you would need a good credit, job history or regular income to qualify for a loan . I would like to know your opinion and ideas about this topic.

[Bill B.]

Your basically buying on margin. You could borrow a percent of todays value, maybe 70% maybe less in today’s market. So you’ll have to have spare Crypto you’re willing to provide every time the price drops or they will instantly sell it to pay themselves back.

You would lose the home interest deduction and you will still probably need good credit and maybe income. 
If you had no job and bad credit you couldn’t buy a home by offering another paid off home as collateral. They want to know how you plan make the payments.