If you are getting cash out through a flip or a BRRRR, there is a good opportunity to pay back the HELOC in a relatively shorter period of time.

Something shorter and more clear cut helps their comfortability level and looks less like there may be something hidden they may overlook.

Between rates being higher and terms being shorter Helocs can also have issues when it comes to DTI and not having reserves. 

The shorter the prepayment term has an impact on increasing the rate.4.

The shorter the prepayment term has an impact on increasing the rate.4.

By having shorter tenancies, you can do more preventative maintenance to take care of your property and make updates between tenants that allows you to increase rent even more. 

The only downside to these is they are typically higher interest rates and shorter terms. 

Both 12-month + month-to-month and 18-month leases have their benefits: 12-month leases offer stability with flexibility afterward, appealing to tenants who prefer shorter commitments, while 18-month leases provide longer-term stability, attracting tenants seeking predictability.

A lot of my clients are local investors who are split between shorter term flips and longer term equity building.If you go the 1031 route be sure to have a solid idea of a few things you want to replace the condo with.

The shorter the prepayment term has an impact on increasing the rate.4.