Expert: Bobbi Buehl - 9/6/2008

Question
I have built seven townhouses for sale. Sales are slow and I need to get my equity out of the townhouses. There is about $364,000 of equity in the seven homes. I have been applying to local banks asking to allow me to buy the homes back but they want 20-30 % down and they are slow in giving decisions. Is there an alternative that would allow me more equity or cash out and a quicker answer. I need the cash out for working capital and normal personal expenses.

Thanking you in advance for your advice.

Rex Muller

Answer
Hi Rex,

Why are you looking to purchase something you already own? You should be looking for someone to refinance the Townhouse, to get some cash out. You will only be allowed to take about 75% out, leaving 25% as required by the banks these days. Find a Loan Officer and explain what you are trying to do and they should be able to help you, if your credit, debt-to-income, and finances are in line with today's banking requirements, you should have no problem getting financing.

Good luck,

Bobbi