Investment/Vacation Refinance

Investment / Second Home Refinancing

Refinancing an  investment property or second  home can be tricky, as an investment property is a business transaction and a vacation home is a personal transaction.

Investment Property vs. Second / Vacation Home Definition

Investment Property

An investment property is a property that will be used to make a profit, rather than used as a personal residence for you and your family. Investment property loans usually have higher interest rates, require a larger down payment than properties occupied by their owners as second homes, and have reserve requirements.

Second Home

A second home is a residence that you intend to occupy in addition to a primary residence for part of the year. Typically, a second home is used as a vacation home, though it could also be a property that you visit on a regular basis, such as a condo in a city where you frequently conduct business.  Second-home loans regularly have a lower interest rate than investment property loans and will usually include an agreement that the property will be kept available for the borrower’s exclusive use and enjoyment at all times and the property cannot be subject to any rental.


If you are purchasing an investment property or second home, make sure you understand the differences between these terms and make your intentions clear to us when you start the start the process of applying for the mortgage. This will ensure that you obtain the correct type of loan for the type of property you intend to purchase.

Lower Monthly Payments

Often an investment property or second home will start with a rate that is higher than to what you are accustomed on the mortgage for your primary residence.  That means that there is the opportunity to lower monthly payments and increase cash flow through refinancing at a lower rate after some equity has been built in your investment property or second home.  It is smart to do the math and also sort out the investment property reserve requirements with us at Isosceles Mortgage.

Not sure which program is right for you? Contact us today to help you refinance quickly and with confidence.




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Subsidiary of West One Capital Group 

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Champions Drive, Beaumont, CA 92223
Phone: (949) 264-2304



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