Brrrr "The refinance"

[Nicholas Salnicky]

Looking to get into my first property. And i was just speaking to one of my mortgage guys at a bank. I asked a lot of questions trying to clarify exactly what i would be able to take out on the refinance. 

So i showed him the property it's a 2000Sf town home listed for 130k and was looking at putting 30k so my all in cost would be 160k. He said hypothetically it should have an ARV of 200k maybe a bit more. But for the purposes of this example we'll use 200k. He said i could refinance and take out 80% of it which would be 160k but then you had to minus what i was in it for on the purchase price which would be 130k. So essentially i would only be able to take 30k out.

Is that typically how that works?

Thanks in advance!