Cash put refinance to BRRRR

5 Replies

I am doing a cash out refi on my personal property so we have the cash to buy a BRRRR. This is our first time doing this and after reviewing the refinance mortgage paperwork there is a page for the commercial purpose disclosure stating whether or not this money will be used for future commercial or business purpose. Is there anything I should be worried about with this or should I just go ahead and check the box that I will be using for business?

@Lynn Anthony this is not a normal question that lenders ask. If you are buying a commercial piece of property it shouldn't matter....but your lender might have a specific problem with it. However, it doesn't sound like you are buying a commercial property, right? You are looking to purchase a residential property to use the BRRRR method with? Unless you are buying a gas station or an office building or something I would say you aren't buying a commercial piece of real estate anyway. Hope this makes sense in some way. Thanks!

@Lynn Anthony did you guys take enough out to put 100% of your BRRRR?

I'm at 50% of the cash to get my first but not sure where to turn next in the process - Hard Money or Private? I feel like I'm falling back towards traditional but don't think that'll work with BRRRR.