My wife and I looking to buy a larger home, but would like to keep our current home as a rental. It's probably worth $275k and we have $105k left on a 13 year mortgage at 2.6%.

In addition to a little cash, what's my best option for the 20% down payment on the new home:
-sell $100k from our taxable brokerage account and pay the tax bill (cost basis about half)
-cash out refi
-home equity loan or HELOC
-other options?

Thanks in advance!

No closing costs on a HELOC but get it closed before closing on the other.

JR2007 said:

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My wife and I looking to buy a larger home, but would like to keep our current home as a rental. It's probably worth $275k and we have $105k left on a 13 year mortgage at 2.6%.

In addition to a little cash, what's my best option for the 20% down payment on the new home:
-sell $100k from our taxable brokerage account and pay the tax bill (cost basis about half)
-cash out refi
-home equity loan or HELOC
-other options?

Thanks in advance!

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I would be happy to help answer any questions, so feel free to use me as a resource. You have several options, you would just need to see which one meets your needs the best and gets you the best overall deal on the new home.

email: bbailey@gomycity.com

https://mycity.mortgage/brian-bailey/

Brian

If your new home will be shown as the primary there are a number of options where you don't have to put down 20 percent. Some of those are more punitive than others, but even paying MI might save you money -
If the 100k you liquidated would have made 7 percent next year, then anything less than 7k in MI for example makes it a better choice. If you are ex military you can finance to 100 percent and not pay MI, even conforming products will let you go above 80 in some cases, as will ARMs. Talk to a professional