Double Close

[Gary Nething]

I would like to buy a multiplex property using a double close for the purpose of holding as a rental property.  I don't quit understand how that works.  Can someone explain how that might work.

[Ursula B.]

It sounds like you are talking about a cash out refi, which is different from a double closing. To do what you are referring to usually requires either seasoning-holding the property for a period of time-or at least rehabbing the property first so that it appraises close to retail, and then you can refi based on the higher value, pay off the first note and cash out. Not sure how you would othwise pull this off with a back-to-back closing.