Want to refinance a rental valued at 160K; owe 105K. Have another rental w/note of 38K. Should I pay off the second rental prior to refinancing 1st?

Asked by Brandi, Houston, TX Thu May 17, 2012

My credit score is 753 according to Credit Karma and my Vantage score is 859.

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, ,
Sat May 19, 2012
Apply first. Then go over the details with the loan officer.
If you do not qualify with that debt.... Nothing says that you cannot pay it off and have the file 'run' again for approval.

Good Luck!!

Tom Burris
Mortgage Banker
DallasLoanGuy.com
(214) 763-4629 cell/text/nights/weekends(Really!!)
tomburris@dallasloanguy.com
Lending all across the entire Great State of Texas!!
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John Eley, , Houston, TX
Thu May 17, 2012
No, I would not pay off the second rental because the cash flow (hopefully positive) should help your debt ratio. Plus, the monies that you use to pay it off could also hurt your debt ratio.

John, CEP
281-402-9651
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