Can I use equity in a 2nd home to lower my primary home’s mortgage principal?

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4 Responses to Can I use equity in a 2nd home to lower my primary home’s mortgage principal?

  1. ironchefkurt says:

    Eric

    yes, by a factor of 2

  2. Worldly25 says:

    Jacqueline

    The only down fall would be the loss of income especially if the condo went unrented for a time. The better idea would be to refinance your home mortgage at a lower rate

  3. DffrncMkr says:

    Kim

    you can absolutely do this and it might help you pay off the primary mortgage much faster. Just make sure to put more than the minimum payment on the line of credit to reduce the balance

  4. STEVEN F says:

    Chris

    MOST of your conclusions are wrong.
    1. Payments on the line of credit WILL be applied to interest first with any remainder applied to principle.
    2. Unless you actually pay the SAME $ amount in interest, you will NOT receive the same tax deduction.
    3. Because you rent out the second home, it is NOT a second home for tax purposes. It is an INVESTMENT property.
    4. The ONLY way you will come out WAY ahead is to PAY OFF debt, not just rename it.

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