help on buying second property strategie

[Mario Flores]

ok. this is my situation. its basic. primary home worth 162k. Zillow estimate 198k. I want to buy second home. Is opening a heloc the best option for downpayment. mortgage broker told me I would need to rent my home and put 5% down. what other options do you guys recommend

[Michael Badin]

I also used money from a HELO, however I have to disagree with John about the gifted money.  While he is correct that most will not accept gifted money as a down payment for a second home some will, they are rare but if you look hard enough you might find one that still allows it.  What they told me is they would require a letter from the person gifting the money stating that you do not have to pay back the money.