15 year Loan Paydown vs 30 year Natural Appreciation

[Jason Happe]

Do you like loan paydown in a 15 year mortgage with less cashflow (no need to live off of properties' cashflow)?

Or 30 year mortgage with lower payment and more cash flow for use for rehab/maintenance?

In addition to our primary residence. I have 3 SFHs, 1 condo, and getting close contract on my first triplex ($185k). 2 homes are 15 year mortgages. Right now I am exploring refinancing of the 3rd home which is paid off. ($300k value)

Thank you,

Jason

[Joe Villeneuve]

IF the property is cash flowing positive, there is only one answer.  30 year mortgage.  A positive CF property means your tenant, not you, is paying down your mortgage.  Why help them?

Remember, you have to recover all money you put in, before you start making a profit.  The added CF from the pay down is an illusion.  That's money you need to recover before you start making a profit, and...you have less CF during the early pay down period too