Hoping I can get some input as our refi situation seems to be changing constantly. Current mortgage is at a 4.625% 30 year. Payment is $1276. The goal is to get under $1200 a month payment so we decided to refi with the current rates being so great. Started a refi but didn't follow through as we weren't happy with the cost. Paid for appraisal which is still good for another month. Tried again with a second company. They've said we can go traditional but they won't accept the old appraisal. Or go FHA again and they'll accept it, saving us $750. Better rate with FHA vs traditional. So the mortgage insurance is kind of a wash from a monthly difference, leaving us to decide on which loan type to choose. My big question is this. This will be an investment/rental, so should we leave it FHA or go traditional? Also, cash out would be more if we stick with FHA. This wasn't really a concern however I have a $10k line of credit that is impacting my score a bit and I need to get it resolved. Traditional loan will only allow us to receive 2% of the mortgage amount at close, which doesn't help much. Hope this all makes sense. Any help would be greatly appreciated. Also, I would probably take more than $10k at close if I do FHA. This way I'll have some in the bank for the next purchase. Currently at $234k market value and I owe $160k. So I've got room to work with.