Using Equity For Down Payment
Hello all
I am new and not familiar with financing strategies I need to know how and if I can use my equity I have in my current duplex for the down payment for my next property.
And if anyone knows of any books on real estate financing strategy.
Thank You
thanks for the replies. your right I never said what kind of investing I was interested in. Multiunits small at first and then into commercial, fixing up building equity and holding. Cashflow is my main objective. The financing strategy I was talking about would be for aquirring, and financing the rehabbing.
make sure you use some one that will look at the whole picture and listen to what your goals are. all to often consumers will end up with a loan not suitable for them because of short term goals of thier loan officer
Yes, you can take care of it all when you find a property you’re interested in. However, I might suggest a couple of things.
First, find a good mortgage broker who you trust and can communicate well with. They can help immensely in determining which route is the best way to go in any give situation. In some cases, it may be using a HELOC, while in others it may be 100% financing, while in others it might be a 5yr. fixed interest only loan, etc., etc.
My point is, no single strategy or financing approach is appropriate for every deal. Every deal is different, and how you finance it should fit the criteria of that particular situation. And a good mortgage broker can help you determine what that should be.
Also, have your mortgage broker pre-qualify you. That way when you make an offer, it gives you a little more clout.
Just my 2¢
Thanks everyone for your suggestions. I really appreciate it.