Cash out refi on rental for primary residence purchase
My situation:
* bought a SFH for $250k as my primary in Portland, OR in 2002
* moved to LA in 2006 and turned it into a rental (the home is still in my name, not an LLC)
* been renting in LA since my move
* want to purchase a primary residence
The plan:
* refi my rental (I'm on an adjustable @ 5% right now)
* cash out $150k @ 4% for 30 years (home is worth $550 now)
* use part or all of the $150k for a down payment on a primary residence in CA or NV
* secure a 30 year fixed rate mortgage on the new home
* get back into a home of my own
Any issues with using a cash-out refi on an investment property for a down payment on a primary residence?
Could/Should I use the same lender for both loans? Should I let the refi lender know my plan for the cash-out $$?
Should I be looking for a specific type of lender for this situation? (my current mortgage is with Wells Fargo)
Mike