All Forum Posts by: Tyler Moore

I’ve been doing a ton of research and mapping my goals for investing in real estate. I would love to (and plan to) work my way into multi-family properties. However, single family homes are a much more affordable transaction in terms of downpayment and overall capital involved. For someone who is just starting out, do you recommend jumping in and getting my feet wet with single family properties first? Or do I prolong entering the game period while I accrue funds to invest in multi-family from the start? Thanks and I look forward to hearing from everyone!

@Carlos Tavares

It depends on what a new appraisal would come in at. Based on my research the value of my home has increased over the past two years. I'd estimate I'd have about $20k of equity. I've talked to a couple banks including the one I have my mortgage through and have been told I can get up to 90% of my equity via a HELOC. If that were the case it would provide me with ~$18k in a HELOC. I want to explore all strategies and I'm eager to get started as soon as possible. But, I also don't want to rush into anything and make a poor decision or over leverage myself leaving things spread too thin.

@Carlos Tavares

Excellent point. Should it impact my decision based on the current amount of equity I have in my home? For example, my current residence is the first home I've purchased. I've been here for about two years and only have approximately $20k in equity. Should I wait a little longer and build more equity before considering a HELOC?

@Tom Rolph

You’re absolutely right, great point!

Hi everyone,

I have been following BP material for the past several months but am new here to the forums. My goal is to excel in the rental property segment utilizing a buy and hold strategy. I have been researching various methods of funding my first property. I believe having a cash downpayment is the ideal scenario, however, this is currently not realistic for me at this time. Therefore, delaying my entry into the game. Would it be too risky to utilize a HELOC to supply the down payment for my first rental property? This would obviously get me into the game sooner, but leveraging my primary residence is an added risk. Looking forward to any and all feedback! Thank you!