William Bronchick’s Coaching Tells
How to Use a Home Equity Line of
Credit to Buy Properties
A home equity line of credit ("HELOC") can be an excellent
financing tool, if it is used properly. A HELOC is a credit card
secured by a mortgage or deed of trust on your property. You
only pay interest on the amounts you borrow on the HELOC. If
you do not use the line of credit, you do not have any monthly
payments to make.
You can access the HELOC by writing checks provided by the
lender. In most cases, it will be a second lien on your property.
William Bronchick, an experienced real estate advisor has
authored various books on real estate and has mentored a
large number of people on real estate issues. In his coaching
classes, William Bronchick tells about HELOCs to buy
While the HELOC may be a high interest rate loan, it is a
temporary financing source, which can be repaid when you
refinance the property, explains William Bronchick in his
coaching classes. Do not use your HELOC as a down
payment or any other long-term financing source – it will
generally get you into financial trouble.
If you do not pay the HELOC, you can lose your home! Some
institutional lenders will not lend you the balance if you
borrowed the funds for the down payment. However, smaller
commercial banks that "portfolio" loans have more flexibility
and may allow you to use HELOC money as a down payment.
Once again, I must caution you about using borrowed money
in this manner - only do it if the deal is a steal and you can pay
off the HELOC money within a few months, exclaims William
Bronchick in his coaching classes.
To learn more, visit www.williambronchickcoaching.com.
About William Bronchick
William Bronchick, CEO of Legalwiz Publications, is a
nationally known attorney, author, entrepreneur, and speaker.
Mr. Bronchick has been practicing law and real estate since
1990, having been involved in over 1,000 transactions. He
has trained countless people all over the United States to
become financially successful, speaking to audiences of as
many as 16,000 at "Get Motivated" events sharing the stage
with names like Rudy Guliani, Steve Forbes, and Colin Powell.
His best selling book, ‘Flipping Properties' was named one of
the ten best real estate books of the year by the Chicago
Tribune. William Bronchick is also the co-founder and
President of the Colorado Association of Real Estate
Investors and the President and Chairman of the College of
American Real Estate Investors.