Using equity how to pull it out what does that do to what you pay
First: Thank you to all that respond for your time, attention and patience.
Second: I am NOT a finance person nor am I RE person... I'm in healthcare and have about a 120k a year FT job, a wife and two kids under 8. I grew up working construction and can build / repair anything, I have my hoisting and hydrolics license as well.
I'm a property owner of a two family (house I grew up in) that I know rent out.
I owe 160k on it and have it on the market and have been offered 400k in cash for it. I have come to the epiphany that instead of selling maybe I should take out the equity to purchase another property with a friend/partner/investor. ( He is also in healthcare same salary job, also owns two other 2 families and is just as handy).
I have 50K in student loan debt and owe 15k on my truck and use the extra rental income from this property each month to pay those bills which total about 1400.00 per month.
I also have a 35k lean for a home healthcare company that I own that I used the property as collateral for...
SOOO the question I have is what is the best way to leverage all of this and IF I pull out the equity.. does my monthly payment on this property change? Will I lose that 1400 a month that I use to pay those other debts? What form does that equity I take out come in (credit or cash).
A little more detail in the numbers:
Mortgage include Taxes, and insurance.
1300.00
Mortgage Intrest 2016: $ 6,596.60
RE Taxes: 2,508.89
Payoff: ( 9/1/2017) 162,733.53
Income: Unit #1: $1875.00
Unit #2: $800.00
Yearly Water/Sewer 550 per unit. (Yes I know it's cheap but that is really what it is )
So far this year:Driveway repair (1,800.00)
NOW:Needs a new roof Estimates of (11,000.00)
* this is NOT a new home the 800 unit is a consistent rent but if that person left I'm looking at 5 K in update costs.
* both front and back units are accepting section 8
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Thanks John