Not very astute yet when it comes to the financing side of things, but I’m learning and that’s why I love this website. I have a question regarding an unsecured line of credit I can obtain versus sticking with my current financing options. Up until now I have been purchasing my properties with either conventional financing through a mortgage lender or construction financing. I have pretty good terms with the construction financing. With a LTV of 80% (stated) I can obtain enough money to purchase, rehab, and six months of reserve payments. The rate is prime plus 1.50%. The unsecured line of credit I can have is free for the first year, but the interest rate is around 11%. Can someone tell me what’s better and why? The only advantage I see with the line of credit is the fact I can pay cash for deals now instead of financing them which will allow me to ultimately get better deals.