All Forum Posts by: George Love

@Steve Vaughan, Thanks, yeah that was what I was thinking.  higher interests rates make it harder to get access to equity in investment properties.  I was however able to get a line of credit against my 4plex from a local credit union(after calling about 10 other credit unions).  They gave me a line of credit of up to 80% of the property value at 5% that never expires similar to what they would do on your personal resistance.  however the minimum monthly payment must be 1.25% of the loan amount.  They put a lean on the 4 plex in order to provide this.  I may use it for a flip or something in the future.

So I'm to the point I would like to purchase another 4plex investment property and I would like your thoughts on how I should provide the 100K down payment that is required to purchase the property.

Here are the properties I have that can provide the down payment:

-Another 4plex I own( I have 400K equity in the property. I owe 150K @ 3.875 amortized over 15 yrs)

-My houses. ( I have 250K equity in property. I owe 280K @ 3.875% amortized over 30 yrs.)

Here are the options I see:

- Cash out refinance the house. This is tough because I would loose the current good rate I have the property.

- Cash out refinance the 4 plex. Same negative con as above.

- Get a line of credit on my house and use it to make the down payment. (I'm leaning towards this option so I can keep the good interest rates on the properties).

Thanks for any thoughts. Am I missing anything here.

-George