Updated over 4 years ago on . Most recent reply
To cash-out refi or to not cash-out refi
I have two duplexes that I owe right around 100k on each, and their values are about 325k each, conservatively. One is on an FHA loan at 3.75% with no PMI. The other is a Conv. loan at 4.625% and no PMI as well. Current payments are right about 1k with escrow included, each. Looking at a cash-out refi and pulling up to the 70% LTV on each to buy two more. The new payments are coming in around 1.2K with escrow included at 3.125%, and lender fees (w/o escrow fees) are around 7k. Is there a good reason not to do this? I made contact with another investor that is getting ready to liquidate 4 duplexes. I want to get myself into a position to be able to purchase all 4, and this seems like the quickest and easiest way.
Thanks in advance, y'all!