All Forum Posts by: Samuel Metcalf

Thanks Dave. Just to be ultra clear, did you mean pull the HELOC out from the duplex, or from the primary residence? Two separate things. The duplex I have, I'm guessing, 100-150K equity in. My primary about 50K (just acquired last year).

Secondly, in your experience, what do you typically see for repayment length? 10, 15, 20, 30 years for HELOCs?

Thanks for taking the time to respond. Which numbers give you pause? I can look into Gift of Equity. Assuming that doesn't work out at all, does cash or HELOC work "better" for one of these pursuits?

 Interesting, sir! I did a little digging on that. I'm not sure the viability here, it assumes they'd be willing to take less than market value and enough less where it covers 20% down? 

I'm all over the place on this one with a mix and match conundrum.

I've got a duplex that's been awesome for me. It's got a $200K mortgage on it with a value of... at least $325K. Best case $400K. I've been eyeing up buying a second investment property: my partner's parents' place. They've been great owners, keeping the upkeep strong, and lately putting about $40K into it to ready it for sale. My guess is they'll ask about $250K. I believe I'll need about $50K for closing, right? With 20% being the common minimum expected if it's purchased for an investment?

Then there's our primary residence. We bought a new build last year and it came with a lot to be desired on the landscaping end. We're ramping up efforts to improve that this spring/summer. I'm just guessing here... maybe $40-60K in improvements?

We have $50K in cash. Another $50K in savings that we'd like to leave untouched. 

Is there an obvious answer for what's the better move to finance either the landscaping and home improvement projects? Cash should go to the purchase? The landscaping? Vice versa the HELOC? Does it matter? Appreciate any and all opinion.

 Thank you! Yes, just discovered this but I appreciate your helpful reply so quickly.

Just in case anyone happens to stumble on this post... I have my answer! I see another user recently asked exactly what I did. 

https://www.biggerpockets.com/forums/48/topics/1174768-attem...

I also have an FHA loan. This forever-PMI clause is apparently common in FHA loans following the 2008 housing SNAFU. I'm locked into PMI with no out unless I re-fi. Sad trombone and anger ensue...

Hey all, first post, please be nice ;)

My first property purchase was in 2017. I very much was guided by a family member and just did whatever they said. Been a great experience for 7 years. On a whim, I recently reviewed a monthly mortgage statement and saw I'm paying $150 in PMI. I have over 40% equity based on loan amount of $200K and general market value of the property at $400K (unsure what assessed value would be).

I'm thinking I'm a candidate for PMI removal. Called the bank, who quickly said "sorry, your loan does not have an option for PMI removal." Apparently, the contract I executed included a clause for PMI for the life of the loan. I'm shocked and embarrassed because I've never heard of "forever PMI". Yes, I'm a noob, but I've only ever heard of PMI coming off once you satisfy equity requirements. So here I am thinking oh great, I am past due on doing this, but at least I'll start to save another $150/mo!

Nope.

Mortgage servicer says only way to remove it is to re-fi. I guess I'm asking how common this is; if I would have been successful in somehow negotiating out of that clause; and if I have ay options to remove PMI at all? I'm just so deflated! Forever PMI? Ugh!