How do I go about this? 40%equity commercial loan 30 yrs @ 4%. and want to reduce monthly payments
Hi,
I have a loan ( commercial) @ 4% with 40% equity built in and remaining payoff about 117K.
I would like to reduce my interest rate and also reduce monthly payments. Thinking of refi with 5 yr ARM. I know I can pay off the complete loan towards end of 2015.
I can also make additional down payment of that 17K to round off the loan to 100K.
However, here is the catch. Just this month onwards, I am no more getting a paycheque and I registered an S Corp and working through my own company. I will structure to take monthly salaries, but it is not yet in place.
In this situation, how do I get a loan with lower interest than I am paying and reduce my monthly payments on the property.
Property is rented and the rent itself is upto 4 times the possible installment of 100K loan on 5yr term, if I get proper rates. However not sure if that itself is enough or will the lenders will still look for a regular paycheque.
Additionally, I am closing a 245K loan just this month ( within a year from starting the loan) and not sure if that would bear any impact if I am trying to refi .
Please advise and I would like to go to a lender with best possible strategy. Obviously I dont want to pay origination/closing fees if possible.
Thanks in advance.
Naveen.