Author Topic: refinancing a rental without 20% down  (Read 1506 times)


  • 5 O'Clock Shadow
  • *
  • Posts: 73
refinancing a rental without 20% down
« on: October 11, 2013, 07:57:50 AM »
Does anyone know of any program that will allow me to refinance my home without bringing cash to the table on a rental?  I keep getting rejected b/c I don't live in the home.  I got married and moved out and started renting it before all the deals for refi came out.  I was just wondering if anyone knew of anything I hadn't thought of yet.  Thanks.

Another Reader

  • Walrus Stache
  • *******
  • Posts: 5215
Re: refinancing a rental without 20% down
« Reply #1 on: October 11, 2013, 08:08:14 AM »
If your loan was sold to Fannie/Freddie before June, 2009, you might qualify for a HARP refinance.  It's up to the servicer (the company that services your mortgage), but income properties may qualify.


  • Stubble
  • **
  • Posts: 101
Re: refinancing a rental without 20% down
« Reply #2 on: October 11, 2013, 10:25:36 AM »
I was able to refi my rental without bringing a dollar to the table.  It was originally purchased with an FHA loan, I refinanced through FHA Streamline Refinance.  Most mortgage people I spoke to said I had to go through the servicer (wells fargo), but I was able to refi through a local credit union, who then sold/transferred the loan to wells fargo.  I received the same interest rate through the credit union that WF offered, but was paid points by the credit union which covered all closing costs and even lowered the principle by ~$600.  WF wanted about $5,000 for closing costs for the same loan.

Don Voice

  • 5 O'Clock Shadow
  • *
  • Posts: 14
Re: refinancing a rental without 20% down
« Reply #3 on: October 11, 2013, 10:47:16 AM »
I recently refinanced a rental and was in the same position you are. I tried shopping around at my credit union, Wells Fargo, and a local bank. All three told me that I could only take a loan for a rental that was 75% of the appraised value of the property, so I ended up bringing thousands in cash to the table just to hit that 25% equity point (this is aside from closing costs, which I assume is separate from what you're asking). I couldn't find a way around it, but maybe someone else here has been a little luckier.