Looking to put my 20yrs of equity to work
Im considering taking $600K in equity from my current home through a cash-out refinance. I currently owe $535K, and the estimated value of the home is between $1.7M and $1.8M. With the cash-out refinance, the new loan would be approximately $1.2M.
I plan to invest the $600K into rental properties with a hopeful average cap rate of 10%,… the goal of covering the mortgage payments on the $1.2M loan as well as the expenses for the rental properties.
Does this approach seem feasible?
Thank you