Q: What are the chances of refinancing investment property in this market?

A: It’s possible to refinance property, but there are some high bars you have to jump.

First, is there equity in the property? If you don’t have any equity, or enough (you’ll need at least 25 percent to refinance an investment property), you might be out of luck. Some real estate commercial lenders may require up to 40 percent equity in a property to refinance the deal.

Next, is the property leased? If the property isn’t leased, you may not qualify unless you have enough income to cover that property. And even if the property is leased, you may not get the rent credit you were expecting. Lenders may take into account that you may have vacancies from time to time and may reduce your income stream to account for those vacancies and therefore reduce the amount they are willing to lend you.

Finally, how many properties do you own? Fannie Mae and Freddie Mac will finance investment property up to 10 properties owned by a single investor (including a personal residence). If you own 20 properties, you probably can’t refinance with a conventional lender.

But I have heard of some folks refinancing their properties. Call around to local banks and see if you can get someone interested in helping you.