Paying private lender back with HELOC

[Carrie Mims]

I have a potential capital partner that would pay cash for my future buy & hold portfolio. What are your thoughts on the below strategy?

- Lender loans cash for a rental property

- I put property in my LLC

- lender and I enter into an agreement that outlines our terms

- I use my own reserves to renovate

- obtain HELOC to pay lender back, replace reserves

- Repeat

Or.. what strategies are recommended when a cash partner is available to you?

Thank you in advance!