Licensed Associate Broker
Accredited Buyer Representative
GREEN Designated Agent
William Raveis Legends Realty Group
As others have mentioned, you will need to contact your lender if you move out of the house. This is actually a clause in your mortgage agreement, not just a nice thing to do.
It will ultimately be up to the bank, but in my experience proof of the executed lease and financial standing of your tenant, along with a current appraisal on the property to compare to your existing loan to make sure you have equity should be enough to appease them for the new loan.
I'm always available to help if you need my assitance.
It might be a good idea for you to contact your current mortgage provider and explain to them that you might be using it in the future as an investment property. The interest rate on the current loan may rise by 1 point because of the change, but then you should be able to legally begin utilizing that as a tax deduction for depreciation. I would discuss these options with a tax accountant as well as the current mortgage provider. Depending on what you owe on the current property, it might be better for you to refinance with a bank that does investment loans. I don't like to really go too far into the finance world with my information, so you should discuss your options for that with loan officers. I hope this information is useful to you.
I'm wondering why you do not sell the current property? You may want to reassess the market sometime in the New Year and plan to sell in the Spring with a settlement in summer at your convenience. It also depends on the property you have, it should be fairly easy if the home would suit a first time buyer - we are anticipating a further first time buyer tax credit next year which should help too.
If you rent the home try to get as long a lease as you can and be sure to check the applicants credit etc. Being a long distance landlord can be tiresome and using a management company is costly.
Let me know if I can help when the time comes I'll be happy to give you an idea of the market conditions and price you can expect to sell for. I can also list the property for rent.
Best Wishes for your future plans.
Weichert, Realtors - Chadds Ford Office
Cel: 215 901-6912
If you have a renter before you move it will be much easier to get a mortgage on the primary home in NY. If you can qualify to carry both loans you will also not have any problems getting the mortgage in NY. I do suggest that you look into the possibilities of renting your current home before you look in the new area, and consult a loan officer that can run your credit and preapprove you for the loan that you would need. When it comes time if you need any further assistance keep my information handy. I can help you rent your property and I can manage the property for you so you won't have to deal with it from NY.