Should I sell my secondary home or get 2nd mortgage/ cash out refinance/ HELOC?
I'm a 3rd year realtor($60k in the pipeline the next 6 months) ( with aspirations of flipping) and my secondary home is ((owned for 10 years) (no capital gains?) bought a new house 3 months ago)) in a hot area.( Atlanta near the Beltline- a path being built around the city. Those that don't know, the Beltline is a huge catalyst for redevelopment in the city. The path extension will pass my house (1 mile from the property) in 12-18 months.
If I sell now I'll clear $200k( expected sale price $335k. (I just spent $40k renovating( all my cash) I have $30k (12%) in credit card debt and wife owes $150k (6%) in student loans ( she's a pharmacist 2 years out of school and makes $120k a year).
A)If we keep the house we will AirBNB. $150/night will be the rate with a goal of 20 nights a month. Mortgage/ utilities is currently $1100. Net roughly $2k/ month. Then sell in 3 years hopefully clear $300k
B)If we sell now, the wife will take $100k and put it towards her loans ( not a risk taker) I will payoff the credit cards and start flipping when I find a good project. I would use hard money.
Questions
1) If we do option A) can I use a heloc to flip and pay off cards? It's not my primary residence
2) What should I do?
*apoligies for bad grammar/parenthesis can't sleep, little drunk and wanted to overload strangers with info
*first post
