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refinancing an investment property in NY?

when we bought our 3 family home, it was our primary residence so we took out a primary residence mortgage.  We have since moved into a 1 family home and use that as a rental property.  we would like to refinance, but we are afraid that we will get hit with higher rates or extra fees.  Is this true?  queens, ny
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February 13 - Rockaway Park
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Answers (10)

You most likely will get hit with higher rates.
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March 04
Good morning mob514,

Key Points for refinancing an Investment Property:

1. Rate and term only; you cannot "cash out" equity.  You can lower your rate/monthly payment
2. Yes, interest rates for Investment mortgages are typically higher than market rates for owner-occupied
3. Extra fees?  Doubtful, unless the interest rate pricing you're offered isn't acceptable without paying POINTS
4. Best to have a credit score of 720 or better to qualify
5. Limited to 75% of value if the loan is "conforming" or 65% of value if the loan is "high balance"
6. You'll be expected to have 6 months "reserves" of mortgage payments on the investment + 2mos on your Primary home

When you shop for your refinance loan, those are the key points your Mortgage Loan Originator (MLO) should hit in your qualifying conversation.

All the best!

Trevor Curran
NMLS #40140
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March 04
Let me first ask, "Why do you want to refinance, and what is the objective here?"

Secondly, with what you stated already, it would be considered an investment property, which would have different terms for refinancing, however, depending on your objectives, it might be worth it and doable. Give me a call to talk about your goals and options.

Thanks.
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March 03
You are correct in thinking there "could be higher fees" for an investment property..the best thing to do would be to discuss with a NY lender to do a comparison to see if there is a benefit for you....good luck..
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March 03
When you refinance you will have to do it as a investment property because that is what it is at this point. Yes rate will be a bit higher and there is no way around that. But what you have to look at is does it still make sense to refinance..

Good Luck
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March 01
If it's a retal Property so don worry about that PM me with your number.
Regards
David
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February 22
I work for a Direct Lender and have offices in NY.  Historically the rate market is still very low and now would be a great time to find out if the lower rates and paying the closing costs make sense for your specific goals.  

I would love to not only help you with a quick break down of rates and closing costs for your scenario but also give you a timeline of how long it would take for you to realize savings after the costs.

You can reach me by my profile.

Good Luck!

 
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February 20

Due to is being an investment property the rates are a little higher than a primary residence. Since you are in Queens the first thing I would aim to do is complete a CEMA. That is always needed in Queens. I'm local so if you want to discuss your options face to face it's possible.

Feel free to contact me through my profile for a no cost, no obligation rate and fee estimate. If the numbers work, great. If not, at least you know exactly where you stand.

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February 13
What is the reason for refinancing? Looking at an older post you mentioned that you had a 5/1 ARM is this correct and what do you estimate the value of your property?  An investment refinance would be a maximum of 75% LTV.
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February 13
Interest rates for investment properties generally do have higher interest rates compared to primary residences.  I would click on the Mortgage Rates tab above and enter your scenario to see what interest rates hundreds of lenders can offer to do your refinance as an investment property.  
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February 13
 
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