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> you want to be stripping equity whenever possible to accelerate asset acquisition By "stripping equity" do you mean taking out home equity loans whenever pos
by jb775 6y ago
> you want to be stripping equity whenever possible to accelerate asset acquisition
By "stripping equity" do you mean taking out home equity loans whenever possible? Or are there other efficient ways to strip equity?
- toomuchtodo 6y agoHome equity loans or cash out refinances. What you pick is determined by your financial models based on interest rates, origination fees, etc. Typical carrying cost math. Once you have enough properties to bump up against Fannie or Freddie GSE underwriting guideline limits (~10 properties), you transition into commercial lending, where you build a relationship with a bank and they lend against your combined portfolio. EDIT: You can find more information regarding these strategies at https://www.biggerpockets.com/ https://www.biggerpockets.com/
- jorts 6y agoWhere can someone read up on these strategies/practices?
- darkwizard42 6y agoappreciated your insight and the link!!