ARM, Fixed or Hold? Need advice please. - Posted by CJ

Posted by DavidV on July 20, 2004 at 06:49:52:

Looks like you have about another $75k equity. If it were me i would try to up the equity line. Cheaper than paying all the refi costs.

ARM, Fixed or Hold? Need advice please. - Posted by CJ

Posted by CJ on July 16, 2004 at 11:16:51:

Hi,

We would like some advice as to what is the smartest thing for us to do financially.

We own a home in CA that would appraise for $245-250,000.00.
We currently have a 6.5% 30 yr fixed with pymts of $1152.00 which includes taxes and insurance. We also have HOA fees of $90.00

We owe $153,000.00 and have an Equity Line of Credit of $23,000.00 we owe.

My question is, would it be smart for us to “refi” now to pull cash out to use towards REI or should we hold tight for now until we actually find something that we would be interested in purchasing?

I am just getting started into REI information with the CS course, and we know that this is something that we want to do for our future, whether it is investing here in CA or elsewhere.

I have been looking at the interest only Arm, but now that rates are on the rise, would we be better off just to refinance back into another fixed rate and take what money we can out of the house to hold in the bank to use when we find something? I figure that when all is said and done we may have $20,000.00 to put away.

ARM or Fixed or hold? What is the best direction to take right now?

Thank you for any suggestions,
CJ