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Updated 11 months ago,
Trying to sell my condo and buy farm, advice needed.
Good morning, first time poster, please forgive if I bypassed any steps before posting.
I currently own a condo in La Mesa area of San Diego, CA. First time home owner. I purchased the condo in 2020 for $310,000 at 4% and a similar unit just sold in my complex last month for $570,000. My mortgage is $1820 + $430(HOA) monthly and I owe $288,500 remaining. I used my VA home loan to purchase this property. During Covid I deferred mortgage payments, so I owe a $30K balloon payment upon sale or refinance.
I want to buy a property in a USDA eligible area, it has an apple orchard and small farmland. Property is priced at $950,000.
Is it possible to cash out refinance my mortgage use the money to fix up the condo, pay off the small debt I have and then sell my property? I did the math and would need about $40,000 to do all that, ($70k with the deferment payment due at refinance). After the sell of my house I'd want to purchase the farm, I could use the equity remaining in the hose to cover closing cost of the farm.
Things I'm confused about:
- Where should I start
- Can I refinance, sell and buy within a short period of each other? and what would this do to my credit score?
- Should I use my VA home loan again to buy this property?
-What kind of USDA loan would this qualify? Property loan or business loan, or both?
-Should I calculate potential earnings from the farm? Looks like they are selling the property as a home and not a business.
Thank you all for any advice, I can do the research if someone can just point me in the right direction.