Your property’s equity or current market value, less any debt still owed on the mortgage, increases your net worth. You must understand what lenders are looking for when borrowing to purchase an investment property, such as barring gifts for use as your downpayment, making your available equity to invest a much more valuable resource.
Using debt to expand your potential or leveraging your real estate holdings, you can withdraw this equity to invest in real estate to build wealth and increase your monthly cash flow. For example, if your home is worth $400,000 and you have a debt of $200,000, there is $200,000 available for investing in real estate. You gain net worth through appreciation on your investment properties as your monthly cash flow improves.
Savvy investors know that by repeating this process, you can build a solid portfolio to provide financial security throughout your golden years. In addition, through careful planning and due diligence, you can build a portfolio that will hold long-term value when you have equity and a golden retirement to look forward to through well-managed real estate investments. So read on as we explore how to use your equity to invest in Metro Detroit real estate. Please note that this article is for informational purposes, not financial or legal advice.
HELOC
A home equity line of credit is a revolving line of credit. You can borrow up to 80% of the home’s value. Of course, you must perform due diligence when considering your potential investment options to mitigate risk. Professional investors like those at Pinnell Enterprises, LLC work with a full-service in-house team of industry specialists saving investors like you time and money through internal efficiency. When you have equity to invest, working with Pinnell Enterprises, LLC makes investing in Metro Detroit real estate easy. Sign up for a free 15 minute zoom consultation with Bill Pinnell at https://www.wildbillpinnell.com/to explore your options.
Home Equity Loan
A home equity loan is typically a fixed-rate loan of between five to 30 years which is paid to you in one lump sum, enabling you to use your equity to invest in Metro Detroit real estate.
Professional investors like those at Pinnell Enterprises, LLC know the red flags and can help you avoid unnecessary and costly mistakes. The professional investors at Pinnell Enterprises, LLC can help you see green flags instead when you have equity to invest.
Refinance
Refinancing, or acquiring a new loan for a greater amount than you previously owed, is another way to use your equity to invest in Metro Detroit real estate. Professional investors like those at Pinnell Enterprises, LLC have years of experience working with investors. The professional investors at Pinnell Enterprises, LLC know how to knock down any hurdles that stand in your way when you have equity to invest.
Pinnell Enterprises, LLC
The best way to use your equity to invest in Metro Detroit real estate is by working with professional investors at Pinnell Enterprises, LLC. Talk to one of our pros at Pinnell Enterprises, LLC today without any obligation about how to invest your equity. At Pinnell Enterprises, LLC, we are happy to answer your questions and address any concerns about getting started, no matter what obstacles you believe may stand in the way. The professional investors at Pinnell Enterprises, LLC can help you run the numbers and assess properties to make the best choice and bring the highest and most secure returns on your investment dollar. At Pinnell Enterprises, LLC, we are passionate about helping other investors succeed because when our investors succeed, we succeed. So call Pinnell Enterprises, LLC at (734) 245-9654 or sign up for a free 15 minute zoom consultation with Bill Pinnell at https://www.wildbillpinnell.com/to explore your options.