Rental property with 60k equity.
Hi BP,
I am new to the business, I appreciate any advice in Advance. I have a rental property has about 60k equity. I bought this single family property in 2016 for 135k. I am assuming I probably have even more equity, since the price went up and the property price is about 200k now. I paid 60k cash towards my principal while I lived in it. I moved out, bought another house, and rented out this. I made a mistake paid all my money trying to paid off faster. I tried to refinance, to be able to buy another property, but my interest rates will go high from 3.75 to 5% because they consider it investment property since I don’t live in. I feel Like I am losing money not to be able leverage the house equity. What would you do in this case? Even if I refinance and buy another property I would probably have about 200 cash flow I feel like it’s not enough. Thank you everyone definitely learning for each of you.
Ramin