Cash Out Refinance with Hard Money Loan
Hi everyone!
Currently I am in a confusing situation
I have a property (free and clear) that I plan on doing a Cash-Out Refinance worth $100K, the bank would give me $70K. I would use those funds to pay cash for another property, but my question is;
If I take a hard money loan for the rehab, can I still Cash-Out refinance that second property?
Example:
$50,000 Purchase
$15,000 Rehab (Hard Money Loan)
$100,000 ARV
When I go to the bank, and I ask to to do a Cash-Out, would they allow me to take $70,000 (70%) of the property? Considering I that I used the hard money loan?
Or would it be better to use a Conventional Loan, rehab, and then refinance?
Thanks in advanced!