My wife and I have $270K left on the mortgage for our current house(now valued at about $400K). We are looking at either purchasing a house with more acreage or buying land and having a house built. We'd like to keep our current house to use as a investment rental.
Besides the $270K left on our current house we have about $20K in debt ($14K on my student loan and $6K on a car we bought last year). We've been aggressively paying these off. We otherwise have no dependents and no other major regular expenses.
We have combined yearly income of $275K. We are maxing out our pre-tax work retirement accounts. We have about $40K in various savings accounts that can be used for down payment.
We talked with a mortgage broker who gave us a scenario for purchasing a second house to be our primary residence. Basically we can finance $548K(confirming loan limit) and then use HELOC plus down payment to cover the rest. We'd refinance our current house after(because it would then become an investment property).
The broker said that many lenders aren't currently offering construction to perm loans due to recent covid/economic stuff, but that would be an option in the future.
I guess my question is if we wanted to wait and do a construction to perm, then would we be able to keep our current house after? What loan limits/mortgage rates would we be looking at? Are there any lenders that may be more helpful if we want to construct a new house to be our primary and keep our current house to be an investment property?
TL;DR: Want to construct a new house to be our primary residence, and then keep our current house(270K left on mortgage) as an investment rental property. Is this feasible and how do we do it?
Edit: high credit scores (770ish)
Submitted December 25, 2020 at 09:55PM by TheOutlawJoseyWales https://ift.tt/34F90Tt
