All Forum Posts by: Jacob Anderson

Thank you Jay! 

Hi Sofia, that's a great point. In this case I would not be able to pay the HELOC off within one year. I think we'll just be more patient and find a value add property. Thanks!

Hi Dan, that's great advice. It's probably smartest to just save up cash for a down payment. We recently bought a property using a HELOC and rehabed it's then refinanced and got most of our money back out. It's probably best to just be patient and find another BRRRR deal. Thanks for the advice!

Hi Michael, thanks for the advice, 5 years is a long time to pay off the HELOC. On this particular property I wouldn't be able to do a cash out refi right away as I'd have 20% equity. We recently did a BRRRR and got our HELOC out of the refi, but it was a lot of work and we are looking for a simpler investment.

Hello, My wife and I are new to Bigger Pockets and are fairly novice real estate investors in Northern Maryland. We own 3 rental properties, and the last one was a fairly successful BRRRR. Our goal is to purchase 1 property a year for the next 10 years.

Hello, I'm looking for some advice. I found a property in my area that would produce decent cash flow and appreciation; however, I would have to use funds from a HELOC on a different rental property for the down payment. This would obviously reduce my cash flow on both properties, as I would be paying the minimum HELOC payment plus extra towards the principal to pay it off quickly. This would also prevent me from using the HELOC for a different type of investment like BRRRR or fix and flip. It would take around 5 years to pay off the HELOC by using some of the monthly rental income from two investment properties. Is it foolish to consider using the HELOC for the down payment? Any advice or shared experience would be great. As a side note, my wife and I work full time and are looking at strategies that are less time intensive. Thank you!