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Updated over 7 years ago on .

User Stats

42
Posts
6
Votes
Mike S.
  • Cambridge, MA
6
Votes |
42
Posts

f/t landlords how do you improve your DTI?

Mike S.
  • Cambridge, MA
Posted
2 condos and 1 multi in Class A neighborhood have over doubled/tripled in value since purchased 5-10 years ago. In terms of purchase price plus update costs they get over double the cap rate of today in the area. Every few years I tap off them doing a refinance cash out. And now since I'm not looking to grow wealth but to cash flow I'm planning to use the cashout money to buy something that cash flows even more by moving to a class B or Class C. Rental income is 90% of my total yearly income which is great but since I carry so much debt from mortgages it's tough to get loans. My plan is to take what ever I can get from my refinance cash out and buy a multi in a class B or C with all cash. Im curious if any other f/t investors have used this method for improving their DTI?