OfflineI have a situation where my rental property went from making me $100 dollars cashflow a month in my pocket to actually paying $84 out of my pocket a month for one year because when I refinanced last year the escrow was screwed up. So the property is now COSTING me money. I had the property appraised and it came up short. So the only solution for me according to my mortgage broker would be this: The property was appraised at $165,000 and the payoff amount is $136,000.
1) Refinance to an Interest Only 5/2 ARM for $130,000 and costing me out of pocket $13,600 and
2) HELOC for $10,250 to pay myself back.
This would bring my total loan to $140k.
Now. This would now PUT $495.69 PER MONTH cashflow in my pocket for one year AND $311.69 PER MONTH for the next 4 years. This new Interest Only Loan would also allow me to pay the property taxes on my own twice a year instead of having it built into my mortgage like it is now.
What do I do?
I AM LOOKING TO PURCHASE IN OHIO FOR ABOUT FOR ABOUT 100,00 FOR A SHORT SALE CAN ANYONE GIVE ADVICE ON WHERE TO GO TO PURCHASE THIS PROPERTY WITH NO MONEY DOWM MY COMPANY IS A LLC .