All Forum Posts by: Kristine O.

@Kristine O. HELOCs are typically 10 year terms. Some even offer interest only w/ balloon repayment at the end.

@Kristine O.Since you bought in 2018 I'm assuming you have some equity... Since rates are higher now than 2018 cash out refi probably doesn't make sense. If you want to keep and rent out your current home - have you looked into getting a HELOC? That way you'll be able to leverage your current home's equity as a down payment on your new house hack. I have a HELOC on the first property I bought in 2016 and have used it to help purchase every other property I have, it's been a great tool for me.

If you're considering selling your current townhome to use the equity for a downpayment on a larger property with an ADU or multifamily unit, it's important to consider a few things.

First, you'll want to make sure you have a solid understanding of your local real estate market. What are the trends? Are property values rising or falling? What areas are in demand? This will help you make informed decisions about buying and selling.

Second, it's important to get pre-approved for a mortgage so you have a better idea of what you can afford and what your options are. You may also want to consider speaking with a financial advisor to help you create a plan that aligns with your long-term goals.

Third, if you're considering house hacking or short-term rentals, it's important to research local laws and regulations to ensure you're in compliance. You may also want to speak with a local property manager or real estate agent who has experience with these types of investments.

Ultimately, the decision to sell your current townhome and purchase a larger property with an ADU or multifamily unit will depend on a variety of factors, including your financial goals, local market conditions, and personal circumstances. It may be helpful to speak with a local real estate agent who can provide more insight into the market and help you navigate the buying and selling process. Good luck, and hope this helps! :)

Hello Kristine,

I'm a 2x house hacker here in Los Angeles. One of which was a condo, which I have since sold after renting it out for four years and bought multifamily out of state while I'm still house hacking my house with ADU here.

There are a couple of things you need to consider:

1. What would the condo rent for? Can you hold on to it for two years and sell later where the money is still tax free, but your tenants paid down the mortgage, meaning you net more?

2. Where are you looking in LA County? With multifamily, your Realtor needs to be crystal clear as to what is subject to rent control and what isn't and how that effects you. I have clients who are done with LA and I am selling off their portfolio. You can't rent less than 30 days on ADUs or MFU in LA.

3. Could you do an FHA 203(k) which is what I did and build out an ADU? Finding an ADU property in your price range isn't likely. Decent ones are starting at about $1M. You would be responsible for the mortgage for about six months depending on the property. Alternatively, you can do a HELOC on the condo and put that towards the house (which is also what I did).

4. You can do 3.5% FHA as long as your condo wasn't purchased with an FHA loan and you intend on keeping it.

5. Are you okay with selling and buying at the same time? For some, that can be daunting (although totally doable and I wouldn't NOT do it). 

Happy to brainstorm as well if you would li

Hello Kristine, 

Congratulations on your growing family! Like Ryan mentioned above. In order to be able to get a more clear picture on your strategy to see what the best option for you is to get pre approved and work with a realtor. Working with a mortgage broker that also invest and helps many real estate investors is important as they will have more knowledge on how to navigate lending guidelines for Real Estate Investing. I see your in the Los Angeles Area and if you would like to meet other like minded people in this space we actually host monthly meetups in Anaheim not too far south from LA. Happy to connect and send you more info. Feel free to send me a DM. 

@Albert Bui @Matthew Kwan

Hello Kristine, 

Congratulations on your growing family! Like Ryan mentioned above. In order to be able to get a more clear picture on your strategy to see what the best option for you is to get pre approved and work with a realtor. Working with a mortgage broker that also invest and helps many real estate investors is important as they will have more knowledge on how to navigate lending guidelines for Real Estate Investing. I see your in the Los Angeles Area and if you would like to meet other like minded people in this space we actually host monthly meetups in Anaheim not too far south from LA. Happy to connect and send you more info. Feel free to send me a DM. 

@Albert Bui @Matthew Kwan