Newbie to the forums here and to investing. I have two current rental properties and I am looking to add a third. As of right now I have enough cash to cover the down payment but not to show the reserves needed for my other properties. My fiance has a nice nest egg in a 401k that we can use for proof of reserves on my other properties that would help out. It seems like a good partnership she has the reserves I have the down payment. Credit scores are about even. My question is by both of us being on the mortgage will this take away from our buying power in the future? Will this count against both of one of our 4 mortgages being eligible for?
I also am considering a cash out refi on one of my rental properties to pull cash out for reserves/higher down payment. I am going to have to wait at least a month for the bank to use my 2014 taxes and confirm it with the IRS. I'm thinking of waiting because if I am on a third mortgage it will bring my debt level above my income level thus preventing a cash out refi however if we do the loan now I'd at least qualify for this third loan.
I'm not sure what to do and thought I'd see if I can pick any fellow more experienced investor minds.
Hi @Mike Barry ,
I am surprised you did not get a response so maybe this reply will help get some attention.
I believe having both of you on the mortgage will effect the mortgages each of you can get later. If your fiance does not have a mortgage now, she might be able to qualify for a low down payment program. You might want to consider that before you go together on one.
As far as the cash out refi, you will probably need to be more specific in your question.
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