No. of Recommendations: 3
It's trivial to refinance; we've done it several times, including once when we extracted $200k to improve the downpayment on the Chicago home.

It's no longer as 'trivial' to refinance as it once was. Requirements are tighter, especially on non-owner-occupied housing. So while it may have been trivial to pull out $200k from your rental property at the time you did it, you may not have been able to do so in the current environment.

At least one state (Texas) has restrictions on how much equity can be pulled out of a property. And it's costly - 'cash-out' refis have a higher interest rate than 'rate & term' refis, in addition to the typical closing costs.

Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.