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Updated over 3 years ago on . Most recent reply

User Stats

31
Posts
8
Votes
Sadierose Saucier
  • Real Estate Agent
  • Plainfield, CT
8
Votes |
31
Posts

Student loans into mortgage?

Sadierose Saucier
  • Real Estate Agent
  • Plainfield, CT
Posted

Hello everyone! 
My fiancé and I currently own 2 multi families under conventional loans (a 3 family owner occupied for 3 years and then moved out to owner occupy a duplex). We each have FHA available and are looking to move forward with those soon. However, my student loan payments from dental hygiene school are limiting my investing power.
Has anyone ever rolled their student loans into a mortgage? I’m assuming it’s not possible with FHA, but maybe a local credit union? Any advice would be greatly appreciated! 
Whichever duplex or single family we buy next will be used as an investment property, therefore tenants paying my student loans. 
I have about $60,000 that I would be rolling in. Thanks! 

Most Popular Reply

User Stats

411
Posts
373
Votes
Ronald Allen Barney
  • Real Estate Agent
  • Tampa, FL
373
Votes |
411
Posts
Ronald Allen Barney
  • Real Estate Agent
  • Tampa, FL
Replied

It's called "debt reshuffling" or student loan cash-out refinance.  

You’ll need to meet the following conditions to qualify for a student loan cash-out refinance:

  • At least one student loan will be paid off in the process – partial payoffs are not accepted
  • You have a minimum 80% loan-to-value ratio in your home
  • You’ll receive a maximum of $2,000 back once the loan is paid off

I know Quicken does these and there are a number of blogs and sites that have FAQs about them, but haven't seen any other mortgage brokers that mention them.  Finding one may be a challenge as stated by others.

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