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Jason Said:

How much to pay down on a new home?

We Answered:

The answer is...it depends! Many Financial specialists believe that it is wise to use as much leverage as possible. One of the hardest things for people to do right now during these economic times is to put and keep money in the bank. Putting 20% down is an extremely viable option. The question is, can you afford the monthly payment with your current cash flow position? If the payment is no problem and you are comfortably living in and enjoying the house, what is the problem? You get the benefit of the Mortgage Interest tax deduction AND you have your money in the bank! However, if you are feeling extremely conservative and do not want to owe anything to anyone, owning a home free and clear is certainly a nice, stable feeling. I think the decision should best be based on the bigger picture of your life: health, additional remaining assets, travel plans, estate planning, etc

Jimmy Said:

Refinance with cashout to purchase another property.?

We Answered:

the process works the same as a regular refinance. A few things to keep in mind are you will need to prove you did not borrow the down payment for the second home by supplying bank statements proving where you got the money. most banks ask for 2 months bank statements. It will help with your debt to income ratio if you can get a rental lease , pending purchase, to show as rental income for the new property.Make sure your loan application for the rental property list it as an investment property not primary res. Banks and the feds are really looking at fraud right now. And try to be in compliance structurally as a rental property prior to getting an appraisal ( smoke detectors, exits, mold insp, ect..A good underwriter will want these in place prior to close..

Jamie Said:

How to remove my seperated wife from the mortgage?

We Answered:

This is a question for your mortgage company or bank and your attorney. You will have to be able to qualify for the mortgage on your own before the company will even consider a new mortgage. Additionally, there are legal issues that must be addressed. You need to have this discussion with your attorney.