Cash-out refi on 10 properties with Fannie/Freddie

[Jacob Silvermetz]

We own 10 properties free-and-clear in Cleveland Ohio, and we would like to do a Fannie/Freddie cash-out refinance on all 10 at once.

The properties are a mix of single and multi-family homes, totalling 21 rental units, and the seasoning period comes to an end in mid-september. We have 2 Properties, totalling 5 rental units, that we may want to sell in the next 3-5 months.

How can we optimize the value of the cash-out Refi? What risks do you foresee with this process?

Thank you for your guidance.

[Jerry Padilla]

@Jacob Silvermetz

As mentioned only cash out refinance the properties you are not intending to sell. You can cash out refinance up to 10 properties. What are the values of the properties? If the cash out refinances are going to be less than $50k loan amounts it may be difficult to find a lender. For the SFR investment properties you will get an LTV of 75% and a MFR you will get an LTV of 70%.