Cash out refi to pay for another property?
Hi everyone
I was wondering if this is a good idea. I have a condo im purchasing with cash from a line of credit in a couple weeks. I believe its probably a non warrantable condo so its been hard to find financing to do a cash out refi on it. However, i have another investment property thats a duplex, easy to do a cashout refi on and has tons of equity. Would it be a good idea to just do the cash out refi on the duplex and use that to pay off most of the condo? I would have to add 19k of my own cash to pay it off completely. Then we would own it free and clear. The mortgage on the duplex would go up but it would still cashflow 300 to 400 a month profit even after the refi.
Martha