How Long Does it Take To Do Cash Out Refinancing?

2 Replies

How long does it generally take to get the cash out from start to finish? And what is the procedure? I'm assuming getting an appraisal then finding a lender to go with?

1 month maybe? Longer? Shorter?

And the reason is I'd like to make an offer on a building, but I don't have enough cash in hand. So cash out refinancing on a building I own is one option. What other options do I have? Or how can I structure the offer in a way that buys me the time to do this?

Thanks.

with residential homes i have heard you need 20% in equity to get an home equity loan but you havent mentioned what type of property your curious about so im unsure. I havent looked much into commercial property yet

I'm actually in the tail end of this process right now. I think I contacted the broker the week before Christmas and I will be closing on Friday.

It's all been pretty painless. I did shop around some other lenders about a month prior to actually settling with this one.

Basically, I called, told them what I wanted. They pulled my credit, presented two different programs. I picked the loan I wanted, faxed over a bunch of supporting docs. About a day later, I got hard approval on the loan and the broker ordered the appraisal. Appraiser came on Monday of this week, returned appraisal to the broker today and I will be closing Friday morning.

I'm doing an 80/10(heloc) loan to get out of paying PMI and using the cash out to pay off credit card debt and some to use towards my first REI property. When I go to closing on Friday, they are cutting me a check for the amount discussed to pay off credit cards and then I have the option of drawing additional funds at any time on the remainder of the HELOC.

I'm not sure how things work when you supply an appraisal before hand. I think most banks like to use their own appraiser, but there are some that will let you pick.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here