Heloc rates right now are typically higher than a 30 year mortgage.

I'm evaluating three mortgage options for an investment property and could use your expertise.

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+, zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680, some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

At the asking price, I'd just about cover my mortgage.

The majority of wealth comes over time from equity through mortgage paydown and appreciation.

So our mortgage is at 3.375% so it wouldn't cash flow if we did a full cash out refinance.

Other people helping pay down the mortgage How did you find this deal and how did you negotiate it?

My primary focus for this investment is on long-term appreciation potential and leveraging rental income to pay down the mortgage, in this case I have no cashflow.Given the current market conditions, I understand that cash flow might not be immediate, but I'm more interested in the potential for appreciation over time and the ability to offset expenses through rental income.

The reason has to do with a base line effect, a couple with a stable income that is required to qualify for a mortgage will usually make enough to qualify for a 200k house.

Fill, your insurance rates will be extremely high if you don't properly fill it.