First Deal- Should I sale or rent and cashout refi?
I purchased a property last summer in Mobile Alabama for $38,000. The deal was financed using hard money at 12% and the total loan was $65,000. After closing cost I received approximately $24,000 for repairs from the loan and I have put in approximately $66,000. To date I have approximately $9000 in holding cost.
My real estate agent feels that we will list the house at $155000. My property management company says that it should rent at $1200 a month. I have used both the fix and flip calculator and the BRRR method calculator. Both show a loss to little return so, my question is should I sell and take a loss or should I do a cash out refinance (75-80 % LTV)?
Thank you for any insight and/or advise,
Eric