Purchasing 2nd Home
My husband and i brought our first rehab property last year in NJ for 130k put 60k and the house appraised at 264 but we used most the equity in the house to pay off debt and decided to actually keep the house and live in it. Now we want to purchase a 2nd rehab property but are not sure since we used the equity in the hosue to pay off debt if we will be able to get another loan for a 2nd home. Someone told me if i used the equity out of our home then we wont be eligible to purchase a 2nd home or investment property. Is this true?
Greetings AIM805,
It all depends on your credit, income, DTI, and overall financial situation. If you are financially strong enough, you can get 100% loan for investment properties. If it’s another rehab you’re looking for, there are loans specifically for that. Check the LENDERS tab at the top of this page.