New Need Financing Advice...Please
Presently have 25-30K Equity in a Texas rental with posative cash flow. Looking at 2-4plex in NY. Duplex are 40-60K and 4 plex 90-135K. Need to find a lender that can help with equity line of credit and follow on mortgage.
Want to use the equity line to put 20% down on properties. Once I purchase the first home can I then use the equity in it to buy a next home. THen repeat this over and over? Also wondering if a second mortgage on the properties would help?
Any ideas would be great. TY for the help
Yes you can, but be careful. You don't want to overleverage yourself. Holding rentals with more than 70% loan to value is a good way to get into financial trouble. If you do have to leverage more, you will want to pay it down again as soon as possible.