"al" <allen@[EMAIL PROTECTED]
> wrote
> I have about $250,000 Home Equity Line of Credit from my
> current home.
> If I want to invest and buy let's say a condo for
> $250,000.
> Would it be better for me to get the money from my HELOC
> and pay off the
> condo or get a loan from a lender?
> Is one better than the other? which one has lower interest
> rate?
What John said. Im****tantly, also note that the IRS among
other things limits the total (that is, on first and second
homes) home equity debt (for which the interest is permitted
to be deductible) to $100k. See
http://www.irs.gov/taxtopics/tc505.html
It's a funny time for investing in real estate. The flipping
mentality is a bad one to have, right up there with other
get rich quick schemes, IMO. So I hope you're prepared to
own this condo for awhile, worst case.
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