-I could use equity from prop 2 to pay prop 1 way down. If i did, The rental probably wouldn't cover the mortgage & insurance, but I could make up the difference until it was paid off. BTW, prop 1 is rural, splitting land not an option. (I was thinking about the refi to get mortgage note down)

-prop 1 rate is 4.0(latest cred rating was 830, so I'm thinking i could do better than that now..not sure what rate is at)

-if prop 2 appraisal holds up, I think I could mortgage 225,000, price is only 180k. That extra 45 k could pay down prop 1 to where I could pay it off in 2 yrs, or refi it for a light note that the rent would easily cover. Does that make sense?

I'm just trying to figure out if there's a smart way to keep both places for my progeny.

3 ...

Report Post

Posted by Mr.Perfect

Louisiana

Member since Mar 2013

17438 posts

Posted on 7/29/13 at 8:30 pm to OneFifty

Congrats on the find. Would love this problem

0 ...

Report Post

Posted by ItNeverRains

37069

Member since Oct 2007

25577 posts

Posted on 7/29/13 at 8:44 pm to OneFifty

quote:
-I could use equity from prop 2 to pay prop 1 way down. If i did, The rental probably wouldn't cover the mortgage & insurance, but I could make up the difference until it was paid off. BTW, prop 1 is rural, splitting land not an option. (I was thinking about the refi to get mortgage note down) -prop 1 rate is 4.0(latest cred rating was 830, so I'm thinking i could do better than that now..not sure what rate is at) -if prop 2 appraisal holds up, I think I could mortgage 225,000, price is only 180k. That extra 45 k could pay down prop 1 to where I could pay it off in 2 yrs, or refi it for a light note that the rent would easily cover. Does that make sense? I'm just trying to figure out if there's a smart way to keep both places for my progeny.

The way to do it is take out an investor loan, you'll be looking at around 5 - 5.25% over 30 years for that product, putting down 20-25%. Everything else is spinning your wheels, over thinking scenarios that are not possibilities unless you can find some type of private lender who's willing to do all what you're asking.

But I Could Be Wrong

0 ...

Report Post

Posted by VABuckeye

Naples, FL

Member since Dec 2007

35604 posts

Posted on 7/30/13 at 9:18 am to OneFifty

quote:
-if prop 2 appraisal holds up, I think I could mortgage 225,000, price is only 180k

You can't do this. You can only mortgage a percentage of the purchase price, not more than the purchase price. There is no such animal as a cash out mortgage on a purchase. To do a cash out refi later to do what you want you will need to have at least 6 months seasoning on the new mortgage on property 2.

This post was edited on 7/30/13 at 9:20 am

2 ...

Report Post

Money Talk - Replies to Post

Return To Board

Page 1

Return To Board