Is it smart to use the equity from primary residence to pay cash for a rental?

Question by athos: Is it smart to use the equity from primary residence to pay cash for a rental?
With the mortgage rate in free fall, is this a good idea to use the equity from the primary residence, refinance and purchase (and pay cash for) a rental prop? Pros and cons? Thx.

Best answer:

Answer by G8R
I know several people who have lost 2 homes instead of 1 using that scenario. Not sure how much lower proces may go, but be careful with your primary residence.

Give your answer to this question below!

This entry was posted in Q&A and tagged , , , , , , . Bookmark the permalink.

2 Responses to Is it smart to use the equity from primary residence to pay cash for a rental?

Leave a Reply to PapillionWyngs Cancel reply

Your email address will not be published. Required fields are marked *