Planning My First Deal
Hey BP Nation,
I have a question about refinancing.
I'm in the process of purchasing my first rental property.
purchase price -- 135k
rehab cost -- not sure...it's currently rented out but was told it has foundation issues. I'll say 75k for repairs
ARV -- 275k - 300k... saw many different estimates, but the tax assessment says 275k
Currently rents for 2450/mo
I'm looking for private money to fund the deal and then refinance out of it to pay off my lender. I've never done a refinance so I don't know the rules.
Can I put a limit on how much I borrow? I don't want to borrow too much because I want the property to cashflow. Is that the wrong way to think about refinancing? It would be nice to have a chunk of cash pulled out when I refinance, but I'm really looking for the passive income.
What would you do?
Thanks for your input!
-Kyle Shook