Refinancing after a cash purchase

Los Angeles · Member since 2019 · 11 posts · 2 votes

Hey All,

About to make a cash purchase for $21K on a 2/1, and put about 100K into it. Comps in neighborhood for same size property range from 155-185.

How does it work with refinancing (for BRRRR) on a cash purchase since there's no existing mortgage to refi?

Thanks,

Jack

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John Warren
Real Estate Broker · 3412 S. Harlem Avenue Riverside, IL 60546 · Member since 2015 · 6k+ posts · 5k+ votes
7y
@Jack Glazer I recently finished one of these on a property I own in Berwyn. The bank will give you 80% LTV for a single family, and a range of 70-75% LTV for 2 units or more. The bank will go off the appraisal, so as long as the property appraises you will be able to roll all/most of your money out into another deal.
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