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Updated over 5 years ago,
Accessing Equity in Duplex, FourPlex
Hello,
I am currently researching options to access equity I have in several rental properties I own, and am interested to hear from others who have experience in this or may have ideas to access that equity. I'll provide as brief a summary on my situation as possible, below:
- Four rental properties: 3 duplexes, 1 fourplex... all purchased 2015 or prior, all have been fully renovated.
- Current LTV in total: roughly $1M in equity in total, LTV of about 33%... this is a fairly conservative estimate, could be a bit higher.
- All mortgages are 30yr fixed and under 5%.
- Total cashflow after income tax: $110k/year... this figure does not include repair, maintenance, capital improvements, etc. for the year.
I would like to access some equity for future real estate purchases, but am unsure I want to do a cash-out refinance which would permanently affect the cashflow. I have been looking into a business line of credit that would use current equity as collateral, and I'm hoping to find some alternatives to compare this option to.
If anyone has suggestions or comments, I am interested to hear them.
Thank you in advance!