ReCasa Financial Blog

As real estate investors , refinancing can help lower your total debt ratio and/or get cash out to increase liquidity.  Lowering total debt can help you qualify for more or larger loans, and could improve your overall credit score .  Getting cash out can help with financing additional real estate investments as equity is a good source for down payments.  If refinancing is able to lower debt ratio and get cash out, it is very helpful in the real estate investing process.  Also, down payments and reserves can be acquired by refinancing if there is lendable equity in the primary residence.

Not many people realize it, but refinancing for just 1% can make a large difference depending on your total mortgage amount ($300,000 debt lowered by 1% = $3,000 per year or $250 per month).

Before refinancing, determine how long you plan to live in the home, how long you have been paying on the mortgage, and if your credit is in good standing.

ReCasa Financial Group   614-221-6770
NMLS #9722 OH: MB.803923.000 IN: 08-0038 LB  PA: Licensed by the PA Department of Banking
130 E.  Chestnut Street, Suite 200 Columbus, OH 43215
Michael Troutman  NMLS # 319798  OH LO 037303.000

The post Is Refinancing Before Real Estate Investing Helpful? first appeared on ReCasa Financial Group.