Hello loansafe forum
I am looking to find out if there is any upside to pay off my house in California that our family resides in presently by taking out a mortgage on our rental property which is paid for already in the state of Arizona.
Here's the story.
I purchased a home myself (CA)in 2005 then got married and started a family. My wife had just purchased a house by herself (AZ) in 2000 before we met. When we got married she moved into my house and we decided to keep her house as a rental. We fell on hard times like so many in 2009 and were faced with either walking away or having to short sale my house (CA). I found the loansafe forum which helped find a way to get my 1st mortgage modified (HAMP)and develop a strategy to deal with my 2nd mortgage which we were successful at eliminating. So fast forward to today, we were able to pay off my wife's home (Rental property AZ) in 2015 which Zillow has estimated its value to be at $335,000 presently. The modified mortgage our home in CA we have been paying on time and are presently current. This mortgage interest rate is fixed at 4.625% for the rest of the loan duration but has a balloon payment when it matures in 2035 . I believe the balloon payment is $200,000 I'll have to check to confirm though. The balance is $338,965.38 presently and Zillow has this property estimated value at $725,000. Also I have been consistently making upgrades to this house and it is in excellent condition so I now it will be appraised for possibly even more in this market.
So my question is would there be any financial benefits to taking out a mortgage on the rental in AZ to pay off the mortgage in CA home? If so...is it even possible to get a mortgage on the AZ property for its complete value?
I am looking to find out if there is any upside to pay off my house in California that our family resides in presently by taking out a mortgage on our rental property which is paid for already in the state of Arizona.
Here's the story.
I purchased a home myself (CA)in 2005 then got married and started a family. My wife had just purchased a house by herself (AZ) in 2000 before we met. When we got married she moved into my house and we decided to keep her house as a rental. We fell on hard times like so many in 2009 and were faced with either walking away or having to short sale my house (CA). I found the loansafe forum which helped find a way to get my 1st mortgage modified (HAMP)and develop a strategy to deal with my 2nd mortgage which we were successful at eliminating. So fast forward to today, we were able to pay off my wife's home (Rental property AZ) in 2015 which Zillow has estimated its value to be at $335,000 presently. The modified mortgage our home in CA we have been paying on time and are presently current. This mortgage interest rate is fixed at 4.625% for the rest of the loan duration but has a balloon payment when it matures in 2035 . I believe the balloon payment is $200,000 I'll have to check to confirm though. The balance is $338,965.38 presently and Zillow has this property estimated value at $725,000. Also I have been consistently making upgrades to this house and it is in excellent condition so I now it will be appraised for possibly even more in this market.
So my question is would there be any financial benefits to taking out a mortgage on the rental in AZ to pay off the mortgage in CA home? If so...is it even possible to get a mortgage on the AZ property for its complete value?