Foren » General » Margin loan to finance real estate

n_bates
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I am thinking to take a $500k margin loan to finance a property and I am trying to make a pro - con list. This is what I have until now:

Pros:

very competitive interest rate - equal or better than a mortgage.
no repayment constrains
no qualification issues (as most of my income comes from dividends & capital gains, no employment income)
no immediate taxes on capital gains

Cons:

need to monitor the margin closely to prevent a margin call

Looking for some feedback on this, maybe from people who did something similar. TIA.

martinkatan
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Can't help ya!

cariaszak
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Yes, that's a good idea, my friend. Just be careful. Now real estate prices are very unstable. I have been earning for about 7 years by taking out a mortgage on houses and reselling them at a higher price. The easiest way to earn money was 5 years ago, when in one month the price of a house was, say, $ 1 million, and half a year later its price reached $ 1.3 million. And by the way, when I took out a loan for a house, I always turned to this firm Mortgage Advisor Liverpool to consult with a mortgage adviser.