Refinancing low purchase price properties
My husband (Joshua) and I are new to real estate investing in Rochester and looking to make our first purchase. Recently I've been looking at single family homes in the 30-35k range where we could earn a bit of sweat equity. From previous attempts to buy a property I've learned that lenders are unable to offer mortgages for this price as closing cost are too great a percentage of the purchase price.
So my question is, if we were able to purchase a property at this price in cash, would we be able to refinance in the future to use the equity towards another property or do the same type rules apply?
-Andrea
Most Popular Reply
Canandaigua National Bank has a portfolio loan package that will finance that amount. My wife and I purchased our first SFR for $34,000 using it. We ended up financing $28,000. Contact Aaron Lazenby in the Pittsford branch. He was great to work with.