Maintain your old Siemens Hipath system

Refinance Rental Property - Dont Sell It

You own a rental property for years, and never see the "big pay-off." Is it time to cash in on your investment, now that you've paid down the mortgage, and values are up? Maybe not.

The Problem With Selling

Selling means you'll have to pay a large capital gains tax. This can be avoided if you reinvest through a 1031 exchange, but then the point is that you want your money, right? Also, a good rental gets more income as rents go up. Do you want to lose this inflation-indexed retirement plan? What's the alternative?

Refinancing Rental Property

Have you considered that if you refinance, you can get much of your gain out of the property, without paying a penny in taxes? Borrowing money is not a taxable event. You can take it and spend it however you want, and still keep your rentals.

Let's look at an example. Suppose you have owned a small apartment building for years. You bought it for $240,000, with a downpayment of $40,000, and mortgage payments of $1650 monthly on the balance. Now it is worth $400,000, you only owe $120,000, and your cash flow is around $800/month. How do you get at that equity?

A bank will probably loan you 70% of the value, or $280,000. After paying off the first mortgage, you are left with $160,000. With todays lower interest rates, your payment on the new mortgage will be about the same. At most you might lose $50/month in cash flow.

An even better scenario: Use $40,000 for high-return upgrades to the property, such as carports or laundry rooms, and then raise the rents. You could have $120,000 left over to spend any way you want, AND have higher cash flow. Does that sound better than selling your retirement plan? Don't sell. Refinance that rental property!

Steve Gillman has invested real estate for years. To learn more, and to see a photo of a beautiful house he and his wife bought for $17,500, visit http://www.HousesUnderFiftyThousand.com

In The News:

Tokyo could be hottest Olympics ever - and the 'brutal' toll on athletes makes it a dangerous game
Sat, 31 Jul 2021 03:47:00 +0100
Tokyo is hot in the summer. That's why back in the 1964 Olympics they shifted events into October and the athletes enjoyed pretty much perfect temperatures.

Four-time Olympic gold medallist Simone Biles withdraws from another two Games finals
Sat, 31 Jul 2021 03:19:00 +0100
Simone Biles has pulled out of another two Olympics finals, USA Gymnastics has said.

Briton among two killed in 'suspected drone attack' on tanker in Arabian Sea
Fri, 30 Jul 2021 12:47:00 +0100
A British security guard was among two crew members killed in what a UK source described as a suspected drone attack on an Israeli-linked oil tanker off Oman.

Satellite images show devastation caused by wildfires in Turkey, as 'sabotage' can't be ruled out
Fri, 30 Jul 2021 23:34:00 +0100
Satellite images have shown the devastation caused by deadly wildfires raging across southern Turkey.

Human remains found are missing British hiker's, DNA test confirms
Fri, 30 Jul 2021 10:06:00 +0100
Human remains found in the search for a missing British hiker have been confirmed as being hers, a charity says.



tikatoshop.it

Erfahrungen mit Pallhuber Wein
Agen Bola SBOBET Terpercaya

Travel in comfort and at your leisure with CT Airlink Limousine & Car Service for top quality private transportation and exceptional customer service. We operate Sedans, SUVs & Vans for CT Car Services to covering all Connecticut airports including Car Service from CT to Newark Airport , Mohegan Casino Uncasville CT, Foxwoods Casino Mashantucket CT, Manhattan Cruise Terminal NYC, Brooklyn Cruise Terminal NYC and Bayonne Cruise Terminal NJ. CT Airlink hire licensed and friendly chauffeurs who have in-depth knowledge of the Areas.

Real Estate Investing ? The Job Escape

Real estate investing is pretty unusual in lots of ways.... Read More

Are Condo Hotels What the Orlando Real Estate Investor Has Been Looking For?

Earlier this year the Hawthorn suites in Lake Buena Vista... Read More

Green Building Media Fact Sheet - Past, Present & Future

PastSpecialized, niche home builders began constructing resource-efficient, environmentally sensitive homes... Read More

Mortgage Broker Training: How to Secure Loyalty From Realtors

So you've just returned to your office after delivering an... Read More

Vegas: The New Frontier

Unless you have been living in Siberia, you know that... Read More

Can I Sell My Private Mortgage Notes?

In this country millions of homes are sold every year.... Read More

Much Ado About Mansionization?

Is there a perpetual shadow hovering over your house? Do... Read More

Make Money As A Slumlord

Be a slumlord? Okay, I got your attention, now the... Read More

Reinventing Real Estate, Part 2: Online and Empowered Consumers Are Taking Charge and Paying Less

Demanding consumers"Internet buyers tend to be better informed on market... Read More

How Can I Stop Foreclosure on My House?

We understand the being in foreclosure is a scary thing.... Read More

Investing In Commercial Property

Investing in commercial property is well beyond the financial means... Read More

Why Do Realtors Advertise Your Home in Print,on the Radio, on Television, etc.?

Why Do Realtors Advertise Your Home in Print,on the Radio,... Read More

Should You Use a Property Management Company or Manage Your Real Estate Investment in Florida?

When considering investment properties, first of all, it must be... Read More

What are the Elements in Real Estate?

Each element has a specific color associated with it. Because... Read More

Hey Landlord! Is Your Lease Legal?

The longer you are a landlord the more you strive... Read More

Real Estate Investors: How to Get a Powerful Marketing Education for Free

I am a total geek.A few weeks ago, late at... Read More

Commercial Real Estate: Assessing The Unique Features Of Commercial Real Estate Parcels

As commercial real estate development progresses into the 21st century,... Read More

The Devine Secrets Of The Ya Ya Lease Purchase Hood

The biggest secret of conducting a successful lease purchase business... Read More

Sell Your California Home For Top Dollar

HOW TO SELL YOUR HOME FOR TOP DOLLAR1. Make your... Read More

According To Sellers, Silence Isnt Always Golden?

When trying to sell a home, silence isn't always golden... Read More

Real Estate: Financial Considerations $$$

Raw land as opposed to improved property is much more... Read More

Wealth Building ? An Advantage of Home Ownership

As you grow older, the issue of wealth building comes... Read More

Real Estate: The Consumers Will Have The Final Word!

"The first step toward change is awareness. The second step... Read More

Does Staging Work?

Staging can involve minimal effort on the part of a... Read More

Family Feud with an Auction Deadline ? Adventures in Probate/ Estate Purchases

One of our investor students told us of an interesting... Read More