My mortgage is 48,000 My Condo is appraised at 68,500 my mom lives in the space. How much money will it cost?

I currently want to know how much money it would cost to refinance my condo? I owe 47950 on it, while I have it appraised at 68500. I am not the primary resident either, it is rented out by my mother.My mortgage is 48,000 My Condo is appraised at 68,500 my mom lives in the space. How much money will it cost?
Do you mean the fees to get it re-financed? If so, it would vary considerable from one lender to another. Anywhere from $250.00 to $2500.00 just guessing. But they can bundle part of these fees in with the loan. The problem is since you don't live there, you will be getting a commercial loan, not a personal mortgage. That's a whole diferent animal. They may look at the asset/debt ratio on that as being too high. Also consider that switching from regular insurance to prop owner-with tenant insurance will be a factor too if you haven't already switched it over.My mortgage is 48,000 My Condo is appraised at 68,500 my mom lives in the space. How much money will it cost?
Usually closing costs can be up to 5%, depends on the terms. But because you own this as an investment property, doesn't matter that mom lives there, the lenders look at that kind of loan differently and typically charge higher fee's and maybe even rates. You will only know the bottom line by talking with your lender.
Because of the new ';risk base pricing'; models that all banks are using you are going to get hit with a lot of bumps to your rate. There is bump in rate for investment property, condo, and for loan amount less than $100,000. My quick estimate is your rate will be about 6.5%which may not be in your advantage to refinance.





You will get better rates with less bumps to the rate on a 15 years if you can afford the payments.





However, is your Mom going to live in this unit for a while? Does your Mom have good credit and income? You could sell to your Mom and then since it is her primary you will get the best rates and cost say about 5.25% today.





Love to help with any mortgage questions





Wbinnicker@fullsailmortgage.com
This is an investment property for you. The interest rate on non-owner occupied property is higher than owner occupied. If you paid for the appraisal more than two months ago, it might not be today's value. Talk to your present lender about refinancing, or an equity loan.