All Forum Posts by: Eric Chiu

Hello BP members!

Here is a break down of the properties that I own and how much I have left on the mortgage:

Primary Resident

250k 3.375% 30yr fixed

Investment Property

50k 4.25% 15yr fixed

110k 4.375% 30yr fixed

My questions is, should I get a home equity line of credit to pay off both investment properties? The best rate I got on the line is 200k @ Prim Rate - 0.15%.  I'm planning to pay off the line in about 10 yrs, is it risky to have the payoff in that long period of time? 

One think I need to mention is my accountant advised me to consider this option because my income when over certain amount and I can deduct the interest on the line from my personal tax. I hope I can get a 2nd opinion in this if this is a wise choice to make. 

Thanks in advance.

@Ned Carey thanks for the advice.

So far all my investment properties came from MLS. I haven't seen many deals lately on the market so I'm curious to look into buying from wholesaler. Correct me if I am wrong, wholesaler listing price are usually lower than the market price and most of the properties need rehab?

I listened to a few podcasts about finding and buying wholesale properties but I haven't come across (I'm sure there are) one that talks about buying property from wholesaler. Do I need to have cash on hand? Can I get a loan from the bank if I made an offer? Do I need to work with an agent to buy from a wholesaler? Can someone tell me the process of buying from wholesaler?

Thanks in advance,

Eric

@Russell Brazil Yep I totally agree that no one can predict the future. All we can do as investor is to minimize our risk.

@Michael Lam I plan to keep my properties for more than 15 years. Yeah you are right I shouldn't need to worry about this question at all. 

Hi There!

I am a new BP member, but had been an avid listener since last year. I have a couple of buy and hold properties in Las Vegas and wanted to add one more in my portfolio. In my research this question had been lingering in my mind for quite sometime, since Las Vegas home prices and other popular metropolitan area had been steadily going up. I want to seek some help as to what kind of metric or data to look for to find out if the market price is way over priced for buy and hold investment.  

Also, if I am generating positive cash flow and I'm not seeking for much appreciation should I even need to consider this question. 

Thanks in advance,

Eric