.$300k mortgage at 7.25% (30-year): $2,046$300k mortgage at 7.6% (40-year): $1,996Technically, it lowers the monthly, but not by much once factoring in the rate adjustment.

If they have a good interest rate it might be worth looking to see if you could assume their loan to take advantage of the lower rate.  

Do it very intentionally, not just for the sake of scaling up, but to get better quality or easier to manage properties that will replace lower quality or harder properties. 

In this market, I would not finance a first time flipper at 75% profit split because the profits and success rate is lower than the last dozen years.  

@Keetaek Hong I have a lot of clients who are facing the same challenges but they understand the long game and that it's imperative to build a portfolio, With that lowered interest rate I mentioned you are looking at 30% down and including PM fees will typically have you around break even or barely positively cash flowing.

Your fire risk is lower in Sacramento than in the Tahoe or any wildland urban interface area.

Just the different brand name lowers the cost dramatically!

Their ability to recover their money should you default is much lower in this position.

In a climate like this with high rates, probably better to use a Heloc so you keep the lower rate of your 1st lien.

We tried to explain this to VRBO call center reps, but they can't offer anything other than telling us to lower prices to pre-Jan 6 rates.