Reserves needed for a refi

[Amber Turner]

We currently have 5 single family homes, one being our current residence. We have to refi one of our properties from a owner occupied to an investment property. From what I have read so far, it seems to vary as to how many months of reserves we need per property, depending on with whom we refi. We are located in California. Does it vary or is it usually a set amount, such as four months per investment property? Thank you!

[Chris Mason]

@Amber Turner

Then you have the choice of going Freddie, or Fannie, whichever is more advantageous, if needed.

Reminder that retirement accounts can be used for reserves, at 60% of value.

Below is particular to your situation as you described it...

Fannie:

• 4% of unpaid principal balance for non-subject property investment properties.
• 6 months of PITI for subject property.

Freddie:

• 6 months of PITI for all investment properties, including subject.

I do both. Let me know if I can be of assistance.