I am in the process of educating myself in the "real estate investing game". However I am a home owner in Laurel, MD and have been for almost two years now. I took out an FHA loan and I'm at 4.5% interest. My mortgage is 2k a month. I've been thinking about refinancing but am hearing a lot of mixed reviews and not sure what the right move is? Furthermore, I do have some equity in the house and at some point I'm definitely going to take out a line of credit against it as a down payment on my first deal. Thoughts on what type of plan I should come up with moving forward
@Justin Verrillo You have good interest rate on 1st mortgage go for HELOC. But if you want to take out MI from the loan you need to refinance in to conventional loan.
@Justin Verrillo it all depends on how much equity you have on you primary residence. You can shop rates around to see if the numbers make sense. Usually on a heloc they might loan you up to 90% though the interest rate would be higher.
I replaced my mortgage with a HELOC, taking up to 80% of the value of my property and use the equity to invest. The closing costs are much better than conventional loan. Shop around. good luck.