Combo Mortgage Refi+New Acquisition

[Hai Loc]

Has anyone out there try and refinance their asset to purchase another property and bundle both properties into 1 mortgage? 

You obviously need a lot of equity in your current asset to even consider. I have about 75% equity so what I am trying to do is find a property for the same value and have a combo mortgage of about 60% LTV.. I would only have to put in a minimal amount on the 2nd property.

Numbers look like this

Property A    $2M       $500k debt $1.5M equity

Property B    $2M      to acquire 

New Mortgage  $2.4M =  buy out $500k Property A  $1.9M towards Property B..  

need $100k + closing costs to purchase Property B

$2.4M debt $4M assets = 60% LTV

I think 60% LTV is plenty and any higher I believe is over leveraging.