Investment properties can include single-family units, apartments, vacant land, commercial properties or duplexes which are purchased with the intent of making money from the investment. If, however, the original situation changes, you may need to look at different financing options. Refinancing the loan on these investments can result in lower or fixed interest rates, lower monthly mortgage payments and higher rental income.
It is often possible to get refinancing on 30-, 20- or 15-year loans. The term of the loan can be changed through refinancing to expand the mortgage period or shorten it to pay off the loan and own the property outright.
Investment properties can help build equity for buyers and rental properties often build equity once repairs or developments have been made. Sometimes owners refinance to boost cash flow or to upgrade properties to increase rental income and property equity.
Payments & Interest
Refinancing loans for investment properties are available for fixed or adjustable rates. Payments will depend on the interest rate and the duration of the loan. Before refinancing it is recommended to get an appraisal on your property which can lock in your rate with the bank.
If you are interested in refinancing or have questions about refinancing investment properties, please feel free to contact us.