Increased intrest rates!!!

[Alex Grullon]

Definitely want to see what everyone's opinion is on this topic... Do you think it would be smarter to do a 4 year intrest only loan as opposed to a 30 year fixed since rates are high. I could use the cashflow to purchase more properties during the down turn.. this is on properties I'm currently rehabbing. Mind you I'm 31 years old and I'm playing the long game.. the properties are located in cincinnati, ohio to give everyone the full scope!!

[Aaron Poling]

Interest rates are not high now, they are just high in releation to the really low rates of the past so many years. It is much more likely that interest rates will continue to go up, and may never go lower than they are today. I would suggest getting a longer term loan, and lock today's rates instead of the risk of hoping they are lower four years from now. If rates do go lower, you could still refinance in the future, but no good reason to take more risk in what could be a very volatile market. 

Good Luck! Aaron