I currently have a mortgage of $250k and my house is worth approx $450k and it cost me approx $280k to build 4 years ago. I am thinking of buying a cheaper house to live in and rent out my current house.
Is it possible to take the $200k equity (or part of) out of my existing home and use it to pay off the cheaper home that I will be moving into? The mortgage then on my existing home(to become a rental) would be $450k and when it is rented out I could claim tax back on the interest on $450k.
Thanks Darren
Is it possible to take the $200k equity (or part of) out of my existing home and use it to pay off the cheaper home that I will be moving into? The mortgage then on my existing home(to become a rental) would be $450k and when it is rented out I could claim tax back on the interest on $450k.
Thanks Darren