All Forum Posts by: Malachi Chapman

Hello there,
I am a Primary residence homeowner here in DFW. My home was purchased for $199K in 2019, now almost 4 years later the house is worth 300K market price. We would receive about 125k in equity if we were to sell. We are looking to attain a slightly larger space (3 bed, 2 bath) and considering selling. The hold-up I have is whether I should try to grind and get the savings for a down payment so we can keep this home as a long-term rental (would be able to receive $300 cash-flow monthly), or should I go ahead and sell and use the money gained and purchase two homes? One primary residence with a 5% down payment and a long or short-term rental with a 20% down payment. Thoughts? 

Hey guys,

So I have my primary residence in Dallas and have been renting it out on Air B&B and living with my parents to see if it would make enough to justify as a rental (which it does thankfully). I don't have enough capital for a down payment on house #2 right now but the plan would be to buy in the next couple of years and keep renting out my current home.
Is now an ok time to take out a HELOC and use that for the down payment/rehab costs of the 2nd home? I know with interest rates being so high it's difficult but with not as many buyers I know I could get below market value most likely. What would be better, do the HELOC now and buy or wait till interest rates drop and save up a down payment over that time?

Any advice is appreciated! Thanks!