All Forum Posts by: Fran Pratt

Hi BP friends, been lurking here for awhile learning everything I can. I hope to buy my first rental (or an ambitious 2?) by end of year. So far I've read Real Estate Rookie, and am currently reading the BRRRR book, plus I've listened to dozens of podcasts and read dozens of awesome posts here.

Current situation:
a) Spouse and I own our residence out-right (fun pandemic bought low/sold high story).
b) Low on cash at the moment, but I have a $400k heloc getting ready to close soon (variable rate, interest only, 8% currently).
c) Long-term goal is to own Buy and Holds to pad our retirement and retire my spouse early.
d) I quit my job last year and have time and motivation to manage properties and portfolio. We have school aged kids and it doesn't make sense for me to get a 9-5 in terms of what I could make vs sacrifice. So I'm looking to get going and grow. 
e) For my team: I've got the realtor and the lender, and have leads on CPA. But I don't know any contractors yet. I'd like to manage my own local properties (and plan to read books about this as well).
f) I don't like the idea of flipping. I have a friend who is willing to partner on a flip, but the tax experts tell me this is an accounting nightmare, not to mention 25% of whatever I make would disappear by way of taxes. Plus, I'm inexperienced and flipping sounds a) scary and b) not my long-term goal. 
g) Property locally is $$$, so I hope to buy turnkey out of state once I save up more cash...

Here's my question:
...Meanwhile, I've got this fat HELOC. I would LOVE to BRRRR locally, but rents haven't caught up to interest rates, and also I'm concerned I won't be able to get out all my equity to pay off the Heloc once I refinance, especially if rates go even higher over the next year. I realize a big part of this is waiting and watching for a great deal, which I'm doing (using New Western) and will stay patient with. Any advice on finding a great property to BRRRR within a 2 hour drive of Georgetown TX? Or other ideas for what to do with my HELOC (that isn't flipping, but that could get me closer to my buy-and-hold goals)?

Thanks in advance!

@Costin I. Hi! Are y'all meeting this week? I'm a newbie looking to buy my first rental property this year. Would love to meet some folks.

@Cody Revel - Hi! did you do this? How did it go? 

 @Shawn Furrow : how did it go? I am looking to do something similar and would love to hear how this went for you... TIA

I keep getting tons of daily unwanted solicitation calls from Lenders who tell me they got my number from Rent to Retirement. If you have an intro phone call with them, just know they will share your info. Which I find pretty disappointing and spammy, and did not understand that would happen before initiating the call. If anyone knows how to undo this and get off these lenders' radar, I'd love to know how.