A buddy of mine has about 5 homes. He used his primary residence to get a home equity loan to buy the rentals. He doesn't convert the loan for the rentals to a fixed, he just carries the rentals on the HEL and pays only interest. He bought most of his rentals well below half of their estimated worth and since he rents them, he doesn't really care about paying them off. He pays about $160 a month for a home that he rents for about $650 per. The goal is not to pay off the rentals, but to maximize the monthly income.
Add up what you owe total for all of your homes, if you borrow against the rentals to pay off your primary, the total hasn't changed, has it?
4.34% is darned hard to beat for your primary, and loans for rentals (business) will be higher than a loan for a private, primary residence.
I wouldn't do it.
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The joker in the deck keeps sending me his card.
Smiling friendly, he takes me in.
Then breaks my back in a game I can't win.
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