I bought my third rental property with $40,000 heloc and some cash. In looking to refinance, basically any mortgage looks to cost me $2000+ and I'm only looking for a 5-7 year loan. Seems absurd for me to pay that.

My primary mortgage is at 3.5% and 17 years left. I owe less than 100,000. I have a loan just because I want to invest my money in other things right now. Would it be wise for me to roll them both into a loan together to refinance my primary into a 2.75ish % rate for 10-15 years along with the rental property? 2nd property Loans are 4.2% ish right now so I'd save some on that interest also. If I'm spending the money on a mortgage, I just don't see why I shouldn't roll my primary into it as it costs little more to include it?

Preferably I'd like to keep business and home finances separate so I know this makes it messy, but total expense wise it seems cheaper?

Any other loan ideas for sub 4.5% for 5-7 years? I want my heloc back to fund another property in the future. Comments and suggestions?

This post was edited on 5/16/16 at 1:00 pm

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Posted by BestBanker

Member since Nov 2011

17474 posts

Posted on 5/16/16 at 3:41 pm to baldona

Run the numbers on combining non-incorporated mortgages into your primary residential mortgage at a 30 yr term. Calculate the difference in payments over the short term loan numbers you were considering and incorporate your rental property depreciation schedule to your tax savings and see if that is sufficient to pay off the shorter term mortgage balance you initially considered. Don't forget to add in longer term mortgage interest deduction in your equation.

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Posted by dabigfella

Member since Mar 2016

6687 posts

Posted on 5/16/16 at 4:44 pm to BestBanker

Baldona do you have any stocks? Im with chase private client and theyll lend me off my portfolio.

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Posted by baldona

Florida

Member since Feb 2016

20396 posts

Posted on 5/17/16 at 7:22 am to dabigfella

quote:
Baldona do you have any stocks? Im with chase private client and theyll lend me off my portfolio

Interesting. Most of my stocks are in retirement accounts with 2 different companies, neither have a ton in there I'm in my low 30s still. But I'll have to looking Into that for the future definitely. I've never considered this but makes sense. Thank you.

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