Should I refinance my rental property ?

[Khandbari Rai]

I have rental property 280K @4.25% value around 450K and construction loan 155K @10%

Should i cash out refi now to

Bring down the 155K ?

Any ideas much appreciated.

Thanks.

[Nate Herndon]

To second what @Sasha Mohammed outlined, it sounds like you owe $435k on a $450k property?

You are going to be maxed at an 80% "rate/term" refinance ($360k loan) in which you will be bringing cash-in...not taking cash-out. As Sasha stated, that is at least $75k you need to bring to cover your current debts alone, plus closing costs on top of that.

Leave the $280k @ 4.25% in place and find some way to pay off that construction loan.