BRRR & Refinance (Cash Out) Exit Strategy
So I purchased a SFR about 3 weeks ago and the renovation process has been underway for about that same time. Along the way we have come along some unforeseen costs that will force us to eliminate some of the design work we had in place.
As another exit strategy I am considering the vehicle of Buy, Rehab, Rent & Refinance as mentioned numerous times here on Bigger Pockets. I do understand the concept fairly well since it is pretty self explanatory but I do have a question in regard to the refinance or cash out on the back end.
This SFR was bought with cash and was wondering when the refinance step approaches, what is the best way to find the most beneficial percentage of being cashed out at?
Should I expect a cash out % of 70-75% of the assessed value of the home?
Thanks BP. I appreciate the assistance!