All Forum Posts by: John Boore

HELOC's are good if you are planning on buying cheap and rehabbing. You can use the equity to pay off the line of credit. If you are planning on using the money for down payments on 30 year loans I would think a cash -out refi makes more sense.

Just be prepared rates are up. 

It comes down to personal preference:  Do you want to be debt free, earning solid rental income, that will remain relatively stable, and is safe?  Or do you want to leverage yourself, especially now when money is super cheap to come by?  And by leveraging properties you can will experience growth through both cash flow AND equity.   However, it comes with risks.  Its really like looking at the stock market...do you invest in Treasury bonds and get a safe, dependable but small return...or do you go big, YOLO and Wall Street Bets that next GME Stock?  Haha.  Not exactly the same, but I think you get my jist of it.  It comes down to personal risk averseness.  

@John Boore  Your choice.  More of a question for your financial advisor, especially with tax implications, level of risk, etc.  Personally I would do an equity loan and use it to buy more properties.

@John Boore  Very open question but if you can, ideally take a home equity loan and use it for a downpayment on more properties.  You didn't post any details of your situation, but that's assuming you can qualify for both, and also are interested in that.  You also didn't post if it's your home residence that has the equity.  Some people are fine with taking an additional loan against it, others are not.