Updated over 4 years ago on . Most recent reply
First deal became my home, dang.
Looking for some guidance on going for a "second" deal after turning the first one in to my home. Long story short, got married and had a child, oops. Here's the numbers from the first deal and trying figure out how to proceed.
First Deal:
Purchased 50/50 with parents.
Loan: $250,000 required 20% down @ 5% interest rate.
Now Valued: $450,000-500,000
Now buying the parents out at $150,000 creating total loan of 347k @ ~3.2% interest rate. I considered selling it but finding a house with similar specs puts us back in the 450-500k range and i figured a 347k loan looked more attractive, plus its a house we like. So now I'm looking at a 347k loan but still have equity in the house of a current value of 450-500k. I'm not sure if the bank will loan out more money seeing as I'm already asking for 150k to buy the parents out, hopefully someone can answer that question from experience. If so, what would be the best way to pull that money out for an investment Heloc or Cashout refi?
On a separate note i feel defeated in the sense that I'm now living in my "investment property" anyone else with a familiar story?