Rental Property Investor · Hopewell, VA · Member since 2017 · 21 posts · 7 votes
Good afternoon everyone! I am a newbie on BP and wanted to go ahead and pick your brains. Me and a partner purchased a SFH home Dec 31st in the Richmond, Virginia area(I used a LOC and he borrowed from his 401k). We initially planned to flip it but after doing some more research we are leaning towards keeping it and renting it out since that is our ultimate goal. We would like to get a HELOC(or similar), to pay back our original source of funds and also have extra cash to pursue the next deal. What is the best way to do this and does anyone have any recommendations for local lenders in the Richmond/Tri-cities area.
Investor · Portsmouth, VA · Member since 2016 · 289 posts · 107 votes
9y
I believe you just go to the bank and apply for a cash out refinance. Did you use a personal loan? Or did you pull from a Credit Card? These can affect your financing options.
Investor · Portsmouth, VA · Member since 2016 · 289 posts · 107 votes
9y
I believe you just go to the bank and apply for a cash out refinance. Did you use a personal loan? Or did you pull from a Credit Card? These can affect your financing options.
Rental Property Investor · Hopewell, VA · Member since 2017 · 21 posts · 7 votes
9y
Thanks for the reply. I used a personal Line of credit. Doesn't there need to be an original mortgage in order to do the cash out? I'm still trying to figure my way through the terminology and options before I walk into the bank and try to get this started
Investor · Richmond, VA · Member since 2014 · 2 posts · 1 vote
9y
We are in a similar boat, so I'm really interested in hearing how this works out for you! We just bought a property in Richmond in January that we're renovating to rent out (had considered a flipping as well, but leaning towards holding it). Hope to be done with renovations by May/June. We don't have a mortgage on the home and we're planning to finance the renovations with our own money and possibly a loan from parents or a no-interest credit card. We're interested in doing a cash-out refi at the end of the project.
We used CapCenter for our last rental property purchase, but haven't dealt with them before for refinancing. But that could be an option.
Rental Property Investor · Hopewell, VA · Member since 2017 · 21 posts · 7 votes
9y
Thanks for all of the feedback. I still have a few weeks before the remodeling is done and I'm also closing on another deal at the end of the month so I plan on start to shop around late Feb/early March. I will keep ya'll posted on the search.