Most savvy investors we work with opt for an arm that is fixed for 5, 7, or 10 years and then goes variable after that.

I think places like Durham have too many variables which could lead to more concerns and ideally I don’t want to deal with that.  

I have tried to perform a science experiment with these alarms, isolating one variable to figure out the issue, with no luck.

Here are our stats:-- HELOC Balance: $175,000-- HELOC Interest Rate: (variable) 10.25%--Primary Residence: $532,000 loan balance, 4.75% interest rate this year, 5.75% next year, 6.75% thereafter, current value ~$700,000--Rentals: interest rates from 2.75% - 3.875%Cash-out refinancing any of the rentals doesn't seem to make sense because their interest rates are so good.

Also, the mortgage rate initially was 1.8% variable with a $2300 payment.

It is a variable rate program based on Prime which is 8.25% now. 

Too many variables.

Many investment firms bought interest cap rates last year when they purchased multifamily properties last year in response to the increasing interest rates because they use variable bridge debt.

Being able to take most of my money out after the refinance stage is the most important variable for it being a success.

Lots of variables you don't have to deal with when you have a 12 month lease, especially if you are in a landlord friendly state.