and without out of pocket money?
Posts Tagged ‘take’
Should I take money out of my 401K to catch up a mortgage on an investment property?
02
Apr
I had lost my job and found another job in another state. We found renters for our house but have had to use their rent for the last couple months to live off of because we depleted our savings trying to stay up on the mortgage. Their rent is about $100 short of the payment, when you factor in property taxes about $450 short. We have eliminated expenses and lowered our monthly bills over the last several months. The thought is refinancing our now investment property to try and get a positive cash flow. The alternative will more than likely be us ending up foreclosing on it or a short sell, because of our current financial situation. We are currently 3 months behind.
Or does it make more sense to cut our losses and take the hit on our credit? We are currently renting and would like at some point get into another mortgage so we don’t feel like we are throwing away our money to someone else. But we can stay renters in our current house for as long as we may need to.
Tax Question: Should I buy rental property with a mortgage or take out a home equity loan?
28
Mar
I am buying a rental property for $50K. I will put 10K down so I need to borrow $40K
I have 2 offers that will determine whether I will apply the mortgage interest on my schedule E for rental property or as an itemized deduction on my 1040.
Home equity loan against my primary house at 6.09% with $300 loan processing fee. 15 year note – 1st years interest payment will be $2452 – I think this interest would be an itemized deduction.
Mortgage for the investment property at 6.25% with 1 3/8 points. Total fee is $2100 including points. 15 year note – Ist years interest payment will be $2492 I think this would be an expense on my schedule E.
I am at a 28% tax bracket and have no other mortgage on my primary house.
To further complicate the picture I have $34000 in student loan debt and could roll this into my home equity loan.
What would be best for my taxes? Take the home equity loan or a mortgage on the new property? Should I roll my student loans into the home equity loan?
Looking to hold an investment property for 7 years or less what is the best mortgage I should take?
24
Mar
The property has 25% equity in it.. My FICO score is around 740. I run my own business so I will need to use stated income. What is best loan for me in this situation and what kind of interest rate should I be looking for?
THANKS!
Can you take out a home equity loan on your current home to put a down payment on an investment property?
20
Mar
Just wondering if I put a considerable down payment on a home and built more equity over a few years if it would be possible to take a home equity loan out to put a down payment on another home that would be used for investment purposes? A rental property/duple/apartment complex etc….
Of course I realize that the home equity loan would need to be paid back but I was wondering if people out there do this on a regular basis?
If not can anyone give me creative financing ideas when it comest to purchasing multiple homes for investment purposes.
I understand a persons credit score tangible assets can be a determining factor but I have yet to build any considerable assets.
I make close to $250K a year before taxes, would that alone be good enough for banks to finance me?
P.S. – I live in the Dallas TX area and I am looking at properties averaging around $100K as rental properties.
Just wondering if building up equity in homes would allow me to borrow to purchase.
Has anyone heard of using your credit card to take out the money to invest on real estate?
13
Mar
Has anyone tried this method for getting your money to invest in property. Someone from Real Estate Investing Institute suggested this to me but I had never heard of doing it this way. Would the interest rate be lower than if you go to a bank? He said you could just do a transfer balance until you get your profit. Seems oversimplified and risky to me. What do you think?
Paid off investment home. Can I take a 1st mortgage on that property or must I go with a home equity loan?
12
Mar
My brother and I need cash for a business venture and would like to take a loan out against an residential investment property that we co-own free and clear. Is our only option a Home Equity Loan? Ideally we would like to take advantage of the lower rates of a standard mortgage.