Updated about 10 years ago on . Most recent reply
Mortgage consolidation
I currently have 7 rentals (SFR) and I am in the process of setting up a LLC. I am going to refinance 5-7 of the properties in the name of the LLC. I've been in discussions with with a director of private banking at a local bank but in order for her to be involved she wants to wrap them into one commercial loan. Each property currently cash flows $100-$150/mo on a 15 yr, 6% loan. If I refinance as a consolidated mortgage, I can put them on a 30yr, 5%, 5yr balloon, and create an extra $1750/mo cash flow to reinvest. Has anyone done this type of strategy? I realize a few of the pitfalls but would like to here other people's thoughts on this. Thanks,
Drew