85k at 3.75% fixed for 30 years (but I am 11 years in). Three months ago, I moved and purchased a new main home. 120k HELOC against the first property to pay for miscellaneous fees and down payment on new property. The marketplace is hot in the first home’s neighborhood so I made a decision to retain the property and rent it out for the present time.
2500/month. The tenants are amazing. We have a one year rent. 1000/month for the present time including taxes and insurance. 225/month. The home is only 11 years old and pretty basic so there is not much maintenance required at this time. 300/month. In addition, there is a proposed tax bill to increase the rate in the area even more by 4.1% next year! This makes me nervous as I am scared to raise the lease and lose my tenants.
- Rising income disparities across countries, that could destabilize the region
- Items to preserve: monthly bank or investment company claims and check information
- Fair (maybe almost even cheap) yields and valuations
- Create partnerships
I have been thinking about selling to pay off a lot of debt including my awful student education loans, or refinancing with cash out to combine everything. 120k HELOC with a 5.25% variable interest rate for 20 years. It has increased from 4.00% to 5.25% in that short time and rates aren’t anticipated to decrease anytime soon.
This scares me to no end. 13k to be covered in to the loan. I’m not sure if this is a good idea? They are building million buck homes next door. Mine is smaller in proportions slightly. 13k to summarize costs. How long would it not take for me to break paying that back again even?
My guess is that easily plan on offering this first property for whatever reason next few years, it would not be worth it to do the HEL and pay these closing costs? On the positive be aware, my accountant says it is a good write off easily choose the HEL.
450k on the lowest end. What would my closing costs on that be? I am speculating I would get strike hard with capital increases tax as it can be an investment property. This is where I would like help figuring out how much I’d leave with easily sold (if anything). Would I owe property, capital increases AND income tax? How do you shelter a few of this income?
I vaguely know about a 1031 exchange. Would that apply if I invested the money directly into a fresh investment property? I then would still have the outrageous school loan problem. I am also only 8 weeks into a fresh lease with these tenants with no specified time frame for notice of sale of the property written into our agreement. 2700/mo if the power was experienced by me to wait until spring to sign a lease. I am trying to help make the right decision but Personally i think as though I don’t possess every one of the answers to some crucial questions. Any help is appreciated!