Cash out refinancing
Hi BP Community,
This is my first post here :).
My husband and I are rookie investors, and we are trying to buy our first investment property since last April. Unfortunately, we keep getting outbid by cash offers without inspection. Ideally, we wanted to get a turnkey property, but since it is not working out, we are considering deals that require some rehabbing. We also consider offering cash by borrowing some funds with the interest from our friends. Our loan advisor is discouraging us from this idea saying that to do cash out refinance we will have to wait at least 6 months, pay extra for closing, and pay much higher interest for investment property in the summer as the interest rates are inevitably going to rise.
What are some alternatives you have tired in this highly competitive market that put you above others with conventional loan?
How would you structure cash out deal on a two, three family investment property with a possible refinancing down the line?
Your expert advice is sincerely appreciated.
Nancy.