$150,000 in open credit lines + great credit

If you had $150,000 in open credit lines plus great credit (Low 800's), how could you use that for investing?  Would buying a multi-family real estate property be advisable now?

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  • Under no circumstances would I use credit lines to buy real estate. But if you’d like to find people who could advise you on doing that, I’m sure you can find them easily on google. Just google “real estate get rich quick” and you’ll find plenty of people. 

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    • WordTenor LOL!

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  • I generally agree with the other comments.  Part of the answer though would depend on what kind of credit line you are referring to.   

    ETA:  add to that, your overall financial picture and how any investment like this would fit into your financial plan.

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  • Buying investments on credit/margin is highly inadvisable and is one of the key factors that led to the Great Depression. Don't do it.

    https://www.history.com/news/what-caused-the-stock-market-crash-of-1929

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  • Dave Ramsey went bankrupt doing this at a larger scale.  It's very risky.  Not recommended.

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  • I have the same ability as the OP. I'm not exercising it for investing!

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      • HappyDance
      • YNABing consistently since 2014
      • HappyDance
      • 3 wk ago
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      • Reported - view

      Superbone 

      What?!  Really?!  You don't want to fully leverage a multi-family rental in this COVID-era of massive unemployment and uncertainty?  Have you not done the math ? It works out every time if you're wearing rose-coloured glasses.

      I got a really good stock tip on a penny gold stock. Wondering if I should borrow the max on all my lines of credit and credit cards to invest.......... kidding.  😄

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      • Superbone
      • YNAB convert since 2008
      • Superbone
      • 3 wk ago
      • Reported - view

      HappyDance Yeah, I don't think any math is necessary for that one. I personally decided a while ago that I don't want to deal with tenants in any way even with a management company. I just dump extra funds (NON LEVERAGED!) into the stock market. REITs are as close as I get. Works for me.

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