Quantcast
Channel: RedFlagDeals.com Forums - Personal Finance
Viewing all articles
Browse latest Browse all 25237

Conversion of existing property into rental and purchase of new residence-mortgages?

$
0
0
Ok Title could only fit so much, so here's the scenario:

Currently in the 3.25 years into a 5 year term on a 30yr variable rate mortgage (P-0.75%).
~200K left on the mortgage.

Looking to purchase a resale home as my new primary residence and making my current residence into a rental property (Rents are about $900-1000 more than what my monthly mortgage is).:?:

What are my best options in terms for financing this, e.g. porting the mortgage over, new mortgage for the old property, new mortgages for both, best arrangements for tax implications/benefits in terms of tax-deductible interest?

-Current property has increased in value since I bought it by about 56.25% (so will probably need to get FairMarketValue assessment to reduce any future capital gains taxes if I dispose of it in the future.
- New property would be about the same price as the current going price for my current residence ( within 15%).
-Current mortgage has a clause which says property must be owner occupied.

Viewing all articles
Browse latest Browse all 25237

Trending Articles