My Flip Adventures - ALMOST DONE
My husband and I finished the reno work about 40 days ago. We still have not sold the property as of yet but there is so much equity in this house that we could cash out refi and rent. Which is a strategy we have been contemplating more lately. Buy a rental property with significant equity, rent, cash out, and buy the next. Plus the money in a cash out is not taxable because it's a loan which your tenant pays. Plus the mortgage payment and deprecation provides some tax savings. If you still wanted to sell the property later there is still enough equity to make profit. So it's like getting to 2 checks on 1 property.
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Hello! My husband & I have just finished our 2nd flip... and within one week of listing to sell, we had a bidding "war" and got it under contract! No one is more surprised than us! Next hurdle will be appraisal... but fingers are crossed. This concept of "'cashing out" blew my mind when i read about it here on BP. Although I don't know why. In our first forays in RE flipping, we decided to take a loan against our stock investments in order to have the cash needed to venture out! But in our old mindset, the ideal thing to is NOT have a loan to worry about. However, if you've got cash flow... your not worried right?
Leann W., almost 9 years ago