FHA Refinance

[Mark Smith]

Hello all,

I'm just looking to develop a game plan at this point, so this question is not something I am trying to act on right now.

I recently purchased my first property using an FHA loan. I am interested in refinancing for the purpose of getting rid of PMI, and ideally I would like to pay off my student loans (approximately $65k). I am new to the mortgage world, so maybe you are reading this, laughing, and thinking that this is impossible. Let me know your thoughts :)

[David Dachtera]

@Mark Smith,

My usual advice is to invest for income and use that to pay off/down your other debts. Once the debts are paid off, the income remains.

If you can, acquire income producing assets well below market, extract some equity and use that to reduce your principal balance on your FHA loan. Then, refinance into a loan with no PMI. Take the money which previously went to PMI and use that to help paydown your student debt. (This makes more of your current income available for debt service.)

Maybe consider some quick flips to get rid of the student debts first then paydown / refi your FHA loans to get rid of the PMI.

Then, your cash flow over all is much better.

My $0.02...

David J Dachtera