Using a HELOC on primary residence to invest in RE

[Joshua Bueno]

Hello everyone!

My name is Josh, I’m 21 years old and currently living in Florida.

I am trying to help my mom invest into real estate as she is getting close to the age of retiring and I want her to be financially stable. She owns her primary residence free and clear. I came up with the idea of her getting a HELOC on the residence and invest that money into either a rental property or a flip.

I know it’s risky since this is her primary residence and she will be putting her residence as collateral, but she needs to invest.

I myself am new to real estate but I do know a little. I obviously know that RE is a better investment for her compared to stocks, 401k, etc.

What advice can you guys give me? Is this a good idea? What strategy should she take?

Thank you