Creative Cashout Options

[Thomas Sokolis]

I currently own a property that is estimated between $220,000-$240,000 based on comps.  I own the property free and clear.  I bought it as my first home and currently rent it.  I am trying to find the best way to use this property to pull cash out to buy more properties.  The rates seem to be ridiculous right now for cashout refinance options.  Does anyone have any better ideas to use this property to my advantage?  I am very new at this even though I've been a landlord for several years.  I feel very undereducated after reading as much as I have thanks to all of you.  It's my only property but I'm chomping at the bit to get in the game and don't want to miss the boat.

Thanks!

Tom

[Matthew Crivelli]

If you think the rates are ridiculous right now you will be horrified in a very short amount of time. If the asset can cash flow with the high rate and you are using the cash-out to purchase more cash flowing assets then I don't think it's a terrible move taking a loan now. If you wait it will just get more expensive.