Looking for clarification on cash-out refinance (BRRRR)
Hello all,
I just finished reading the BRRRR book by David Greene. According to the BP podcast and his book, they all stated that cash-out refinance is the best thing ever for real estate investors but they all seem to left out the interest rate that comes with it. I just spoke to a lender and he said the interest rate is usually 5% for 30 years. 5% x 30 years doesn't seem all that great considering interest rate for a conventional loan is at an all time high around 3%.
I am hoping if anyone could shed some light to my confusion as to why cash-out refinance is so great. David Greene and BP podcast seem to overhype it and make it seems like it's free money. Or am i completely off? Please advise.