All Forum Posts by: Mike L.

Also I guess this boils down to the question of whether or not the goal of investment properties is to own them outright at some point or just keep letting a cashflowing rental continue to pay down the mortgage for you and use that extra cash you save towards alternative investments.  

Thanks for your advice!  

It's fully amortized over 30 years. The monthly payment over the first 10 years on the 10/1 ARM actually comes out to be about ~$2500 whereas the monthly payment on the 30-year fixed is about $2800. Does that change anything to you?

So I've got a choice on a $850k purchase price, 20% down place.

Buy and hold, going to live for 5-6 years, eventual rental.

What would you guys do?
10/1 ARM at 2.375% with about $1k in lender credits?

30 year fixed at 3% with about $700 in points

My wife and I currently gross about $500k combined via W2 wages, in 3 years probably up around $1million per year. So it's theoretically possible we could aim to pay off the ARM in 10 years as opposed to refinance. I've read up the wazu on the pros of mortgage interest deductions, etc. Feel like everyone I've talked to has a different opinion so I thought I'd throw it out here to see what would you do.

Thank you BP!

So I've got a choice on a $850k purchase price, 20% down place.  

Buy and hold, going to live for 5-6 years, eventual rental.  

What would you guys do?  
10/1 ARM at 2.375% with about $1k in lender credits?

30 year fixed at 3% with about $700 in points

My wife and I currently gross about $500k combined via W2 wages, in 3 years probably up around $1million per year. So it's theoretically possible we could aim to pay off the ARM in 10 years as opposed to refinance. I've read up the wazu on the pros of mortgage interest deductions, etc. Feel like everyone I've talked to has a different opinion so I thought I'd throw it out here to see what would you do.

Thank you BP!