Financing Question

[Justin Burns]

I have done a couple of deals but have not been super active on the boards so hope this is the right spot. I reside in Dallas, TX and own my primary home with a fixed rate mortgage. I am about to purchase a new home and want to keep this home as a rental or make improvements before selling. With that said when I apply for the new mortgage that will be my primary residence so do I legally have to contact my current lender to refi as an investment property? If so how long do I have to do this? Also since I have about 60% equity in my current home do I have to have additional capital (down payment) above the closing cost of the refi? Look forward to the input. Thanks. -jburns

[Pete T.]

it only matters that it was a OO when you bought it. You wont get any cash out for downpayment unless you do a cash out refi or sell.