Reported 2 days ago
Scott Trench from BiggerPockets warns that many aspiring rental property owners are financially unprepared. He emphasizes the importance of having a solid financial foundation, or 'spread', before investing in real estate. Unexpected expenses can threaten your finances, making stability and a healthy income crucial. Trench advises against using a home equity line of credit (HELOC) to fund rental purchases, as it adds significant debt. Instead, he suggests starting small with manageable properties and gradually upgrading, prioritizing local investments for better control.
Source: YAHOO