Should I Refinance My 5 Plex

[Brian Stevens]

Please help! I worked really hard on my first multi family property and created a lot of equity but also was able to lock it down on a 30 year mortgage at 3.25% apr. I’m not sure if I should refi and enter the commercial world of finance and pay a higher interest rate with the unknown of future rates and having to be forced to refi every ten years. If anybody has creative ideas to get some of my equity out and still keep my loan please chime in. The banks will not do a second on a commercial property. Thanks in advance

[Jason Graves]

@Brian Stevens

Consider selling the 5 plex and doing a 1031 exchange and buying a 10-20 plex.

You can use the $300k+ in equity as your down payment and you roll into the new property tax free.

I sold 1 condo in San Diego and traded for a $1.3 million 14 plex in Kansas City MO about 6 months ago. I’m now getting $3000 per month positive CashFlow and my tenants are paying off my $1m loan at $2500 month. Plus application, plus tax Benefits.

I did the same thing 2 other times in the last 9 months and now own 26 doors.

Pm me if you have questions.