4-Plex Refinance Question

[Kellen Driscoll]

Hey BP,

I wanted to get a second opinion before I pull the trigger on a 4-plex refinance. I used a FHA low down payment loan to purchase this property, I rehabbed it, and now I am looking to refinance out of the PMI and be able to use the FHA loan again.

Now I am going to have to pay roughly $10,000 for the refinance because the appraisal came in a little lower than expected and also closing costs for the new loan. I will gain roughly $30-40 a month in cashflow following the refinance, which is meager return at best.

The benefit that I am seeing is the opportunity to use the FHA loan again and a small amount of extra cashflow. My plan would be to use the FHA loan for a duplex/triplex to live in and airbnb/rent out the other unit(s).

Thoughts? Opinions?

Thank you!

Kellen Driscoll