Q: I have a rental property in Brooklyn, NY but live in Miami. On the rental property I have two mortgages, with rates of 6.4% on the first lien and 7.6% on the second. The property is a condo and worth only about what I paid for it, therefore I have no equity to speak of. I really want to refinance it. Is there any solution available? I read about your Value Gap Refinance idea in Fortune but don't know if I could qualify. Any advice?
A: Refinancing an investment property these days can be a challenge, and trying to do so with no equity is likely to prove impossible. Even if the ValueGap Refinance program actually existed, it was intended for owner-occupied properties, not investment. You might contact the lenders of the loans and see if they might consider negotiating a better set of interest rates for you. The answers will probably be "no", but it costs nothing to ask them.
