Updated over 8 years ago on . Most recent reply
Questions on starting out?
I have a question which involves private lending. If someone is looking into becoming an investor and currently owns a home through a private lender, what are the advantages? Here is a little insight into the situation. The home was bought 3 years ago at $208,000 and no large improvements have been made beside things such as newly painted cabinets and updated landscaping. The current estimated market price of the home is roughly $255,000. The current interest is around 3%, which is amazing! I know there is a possibility of getting a loan through the bank and paying the lender and keeping the profit for investing, but the interest rate is so low through the lender, I don't know if this is a good idea. Any advice or input would be much appreciated. Thanks!
Most Popular Reply
It will be hard to find someone to cash out REFI more then 80% LTV and at 255k that is 204k. some credit unions will do HELOC 100% but interest rates will be 5.5+%. so if your investment can't cover the % I would just keep on what you have.