Using a Line of Credit to Invest?

[Mark Silva]

Hello BP,

My family and I own a four-plex free and clear and have been thinking of opening a line of credit. We will use this line to acquire other buy and hold investments (maybe even a flip or two).

After purchasing a property using the LOC our intention is to refinance the acquired property to a 30year fixed and pay off the LOC.

What are the pros/cons to this method?