Author Topic: RENTAL property refinance  (Read 471 times)

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Offline Cares

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Re: RENTAL property refinance
« Reply #15 on: Yesterday at 12:49:30 PM »
I'm also looking into refi a rental property. AFAIK, Owning doesn't do rental properties... am I wrong? Any other recommendations? I've heard LenderFi, Interactive Mortgage, Intelliloan thrown around here... remaining loan is only $250k @ 3.5% (30yr), so on the small side.

I'm happy to take a look at your loan if you want to PM me the details. I already know that you cannot get even a 0.25% rate improvement for no point no fee though.

Offline USCTrojanCPA

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Re: RENTAL property refinance
« Reply #16 on: Yesterday at 07:13:38 PM »
What is the max LTV for a cash-out refi on a rental?  How much do you get wacked on the rate?
Martin Mania, CPA
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Re: RENTAL property refinance
« Reply #17 on: Yesterday at 10:55:58 PM »
What is the max LTV for a cash-out refi on a rental?  How much do you get wacked on the rate?

The max would be 75% LTV. But cash-out on investment is the highest interest rate loan you can get because you get whacked with every single adjustment. If it's high balance it's even worse. It's probably pay points and fees for 4% or more.

Offline USCTrojanCPA

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Re: RENTAL property refinance
« Reply #18 on: Yesterday at 11:37:11 PM »
What is the max LTV for a cash-out refi on a rental?  How much do you get wacked on the rate?

The max would be 75% LTV. But cash-out on investment is the highest interest rate loan you can get because you get whacked with every single adjustment. If it's high balance it's even worse. It's probably pay points and fees for 4% or more.

The loan would be around $540k so normal conforming and I'd pull out over $250k.  I know I can do a rate/term refi 6 months after the cash-out refi to bring the rate down so I'd sell the rate up to collect points as I doubt rates are going anywhere in the next 6-12 months with covid cases increasing and gov't cheese coming to an end which will ease up inflation pressure.
Martin Mania, CPA
AgencyOne
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CA CPA License # 107675
mmania001@yahoo.com
714-747-3884 cell

Often imitated....Never duplicated!
Have license, will travel!

Offline Cares

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Re: RENTAL property refinance
« Reply #19 on: Today at 08:05:00 AM »
What is the max LTV for a cash-out refi on a rental?  How much do you get wacked on the rate?

The max would be 75% LTV. But cash-out on investment is the highest interest rate loan you can get because you get whacked with every single adjustment. If it's high balance it's even worse. It's probably pay points and fees for 4% or more.

The loan would be around $540k so normal conforming and I'd pull out over $250k.  I know I can do a rate/term refi 6 months after the cash-out refi to bring the rate down so I'd sell the rate up to collect points as I doubt rates are going anywhere in the next 6-12 months with covid cases increasing and gov't cheese coming to an end which will ease up inflation pressure.

PM me the details.

Offline Soylent Green Is People

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Re: RENTAL property refinance
« Reply #20 on: Today at 08:17:46 AM »
Agency Conforming High Balance has "excruciating" hits to pricing when you layer risk - High Balance, Refi, Cash Out Refi, Investment - all add layers of fees from the Agencies. Non-conforming products sometimes can be used if the new loan is $1.00 over standard conforming loan limits. Non-conforming has more qualifying and reserve requirements, but the rates and fees are often at a much better price point than Agency loans right now.

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