This topic contains 2 replies, has 2 voices, and was last updated by Robert McCoy 1 year, 1 month ago.
HELOC on investment property
I currently own investment property in CA that I’m renovating. I’m also renting the house that I live in. When the renovation on the investment property is done, I can’t decide whether A: to just move in and live in it, get a HELOC, and use the money to buy another investment property to renovate and sell, or B: rent it out, get a HELOC to buy another investment property to renovate and sell.
It’s great that you have options! If I were in your shoes I’d by start by comparing which option(s) would provide the best returns, while also allowing me to enjoy my preferred standard of living.
You could start by putting together a rental market analysis, which will help you determine your rental income potential.
Secondly, you should consider if a fix and flip makes financial sense in the area where you’re looking to buy. Once you’ve done this research, you’ll be better prepared to make an informed decision.
Wishing you the best of luck!