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Updated about 13 years ago on . Most recent reply
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What would you do?
My primary residence is free and clear and with an appraised value of 290k.
Rental property A has an appraised value of 150k and has two liens.
1. 33k balance on first mortgage at 5% fixed with 6 years remaining ($475 a month)
2. 83k balance on variable HELOC currently at 3.24% with 6 years remaining ($1300 a month)
Gross rent: $2070 a month.
Rental property B has an appraised value of 225k and has one lien.
1. 180k balance on the only mortgage at 4.8% with 27 years remaining ($950 a month)
Gross rent: $1200 a month. (potential rent of $1900 per month)
Would you pay off the first investment property in 5-6 years and then focus on the second? ...or...
Refi primary residence and pull 217k out at 3.25 for 15 years (or 30?), pay off property A and 80k on property B and then apply extra rental income to property B until it is paid off?
Thanks.