All Forum Posts by: Peter S.

Good luck @John Robison IV and welcome to the site.

@Kurt Kline,

A lot of good ideas being discussed on here. I'm in a similar situation as you in that I'm trying to save for my first deal and looking at different savings or investment vehicles out there to be able to make that first down-payment later this year. In my experience thus far, there aren't going to be a ton of great options where you are going to get a significant ROI while still keeping liquidity.

One thing I am doing is investing heavily in my Employee stock purchase program (ESPP) as i can buy shares at a 10% discount 4 times per year then turn around and immediately sell to keep the profit. I'll pay some taxes, sure, but I'm still coming out with about an 7-8% return each time and this money is about as liquid as it gets, short of a savings account. 

This might not be an option for you, so I'd also echo what someone mentioned above about P2P lending. You can do shorter terms loans and still make a respectable ROI if you invest intelligently there. I'm going to be looking into that further after I sell off my ESPP shares next week.

Sounds interesting, I'll try to make it

Eric, Great question. We see people on here talking about creative financing all the time but I never see anyone factor their costs for the HELOC, HEL, or HML. I'm considering a HELOC myself and have been wondering the same as you.

Good luck, @Elliot Kelley. UofI alum here, living in Denver now. I wish I had invested in RE when I lived there. Seems like a stable market with all of the grad programs there.

Hi Mansoor,

I'm not experienced in investing yet, but I've had a similar idea to you option #2. I'll be following this topic to see if others drop in to comment.

-Pete

Looking forward to this!

@Mark Nolan,

I'm not really sure how that works. Can you explain further or point me to a good forum post that explains that in more detail?

Hi @Cliff Harrison,

I was sort of thinking along those lines as well. Do you think that is a safer way to go versus a cash-out refinance?

Hello BP,

I am just getting started in REI and looking for some advice. My strategy right now is to get into buy and hold to start and then expand as I learn more.

I own my home, have about 179K of equity as based on my last appraisal in 2013. My 401k and Roth IRA are maxed out each year, I also have the option to buy employee stock at a 10% discount, up to a maximum of 15K per year. Right now I am putting 5% of each paycheck into that vessel and can pull it at any time, the only issue would be potential capital gains taxes.

I estimate that I have about 10K of liquid money right now to get started, plus the options above. 

As I live in a highly priced market, my biggest issue right now is capital for a downpayment. What do you think would be the best plan to get started.

Thanks for any and all replies and advice.