Refinancing my investment properties - Refinancing investment properties should be done with through an experienced mortgage professional only. There is more work that needs to be done when refinancing investments, and there are more mistakes that can be made that can cause your refinance to be declined. These mistakes can be avoided by working with a knowledgeable loan officer to handle your financing needs.

You can refinance a commercial property, single family home, a 4-unit rental or an apartment building. You can increase your cash flow and lower your monthly mortgage payments when you refinance or convert the equity into cash to remodel your investment property or purchase additional properties. Owning investment property is a smart choice in today's real estate market.

Refinancing an investment property is generally done for two reasons:
1) To Raise Cash
2) To Improve Cashflow

For these reasons, many investors choose to refinance their rental properties using minimum payment option mortgages (Option ARM, Hybrid Option ARM or Fixed Rate Option). Contact us at today to see if a minimum payment option loan is right for your investment property refinance.

When financing several properties at the same time your mortgage professional may recommend a blanket mortgage. If you do refinance using a blanket mortgage, be sure your loan is structured with release provisions so you can payoff the loan incrementally as you sell or refiance your properties at a future date.

The appraisal on an investment property is different than a regular owner occupied home. There needs to be an income analysis and a schedule of rents comparing the subject property to the real estate market that it is in.

Lenders also consider investment properties to be a higher risk loan than an owner occupied property. With this comes higher rates and tougher underwriting guidelines.

When you refinance your investment property there will not be a rescission period for the new loan. If you are getting any cash out you will receive that money at closing instead of having to wait three days like you would if it were your primary residence.

Some lenders have programs available that allow you to finance up to 100% of your Non-Owner Occupied property at a very attractive interest rate.

Investment Property Mortgage Refinance - A refinance for a investment property is just like a mortgage refinance on your primary residence with only a few slight differences. When qualifying for a investment property mortgage refinance underwriters will look at monthly rental income and use that to figure the final debt to income ratios. To refinance an investment property you will need to have good to excellent credit.

Many investors like to pull cash out of one investment property in order to purchase other investment property. Contact a mortgage professional today at or about how to leverage your properties to purchase more income producing property.

Invest Property mortgage refinance loans increasingly require property owners to verify the rental income generated by the property, however documentation options may be more flexible than you think.

There are programs out there that allow high loan-to-value ratios on an investment home. As an investor, this allows you to maximize your leverage by using Other Peoples's Money(OPM) and shift the risk to the bank rather onto you.

When refinancing investment properties, a lot of investors like to use a fixed rate mortgage program. This allows the investor to easily set a monthly budget due to a fixed monthly payment. In recent years, some investors have started to use adjustable rate mortgage programs for their investment property refinances. Some of these ARM programs have low start rates that allow for an increased monthly cash flow in the short term. This enables the investor to take the increased cash flow and re-invest it into more properties.

Investors also like the Adjustable rate Mortgages because they can create a positive cash flow position. This makes it easier to sell...especially if the mortgage is assumable.

An investment property mortgage refinance will have a higher rate than an owner occupied mortgage refinance. This is because lenders see more risk of a default in a property that you are not living in.

Many times when you are using your rental income from your investment property to qualify for your investment property mortgage refinance you will have to show a lender or underwriter your actual 1040 forms. This will show the lender actual proof of whether you are actually making or losing money on the property.