BRRRR Method - Refinance

[Ben Colabella]

Does anyone know of lenders that will lend 75% LTV and not 75% purchase price? My first investment was kind of an accidental BRRRR and I refinanced with Chase, but I had already owned the property for a year by the time I refinance. I'm in search of a lender that will lend 75% LTV after a rehab is complete. Any tips?

[Brian G.]

@Ben Colabella you can get a 70% LTV refi (SFH) or 75% LTV refi (2-4) after 6 months of ownership going conventional (the cheapest money to borrow). Alternatively, you can go with a portfolio lender and get a refi with the same LTV % as conventional, immediately after fixing up the property and placing a tenant. A portfolio loan is a more expensive rate with less favorable terms (ie shorter term with balloon payment).

For a really creative solution and after drinking plenty of coffee, read this thread:

https://www.biggerpockets.com/forums/48/topics/460294-how-to-cash-out-1-4-unit-property