Did I do this right?
The original plan, and hopefully still is to cash out refi current home. I can cash out 90%. Currently owe 101k and would refi at 135k with 3.73% APR. Leverage equity into another property down the line after getting tenants. Reuse VA for a primary residence.
The Mortgage+ Tax&Insurance=$770 monthly
Projected rent $1100 monthly
Monthly total for later maintenance and vacancy 15%
$1100-770-15%=$3366
$3366/135k= 2.49% CAP ?!?!?!?!
Home is currently worth $150k
Did I do this right? Is it even worth it?
Please help.