Investment property cash-out refi

2 Replies

Let's say Zillow zestimates a property worth $150K.  If I were able to buy the property with cash for $100K. Would a lender let me immediately take out a loan of $150Kx75%=$112K without doing any improvement to the property assuming the property's condition on par with the Zillow's comps?

@Andrew Nguyen

Your lender will do an appraisal and go off that. I did this three times last year. First rental I paid 130k for appraised for 195k. Second rental I paid 135k, and it appraised for 215k. And third one I paid 132k and it appraised for 150k. I rehabbed one and the others did minor stuff to them. But I got them all for really good deals. But my bank gave me 80% of the appraised value. They didn’t care what I paid for them.