I owe $385k on an appraised $675k multi family.
I want to take out $60k-$80k in equity which would be around $500-$800/month additional in payments but would fix up the multi unit adding two bedrooms that would yield around $1500/month in rent and likely make the property re appraise for $80k-$120k more since it is a legal unit and it’s not finished.
Credits in the 700’s, dti is around that 48%. If I have equity above 20% should it not be an issue? I also just purchased the home within the month not sure if that matters.
original posted by Severe_Perception706 to r/personalfinance on Thu, 29 Feb 2024 15:33:41 GMT.