Cash-Out Refinance for Rental Property (Duplex)
I am in the Norfolk, VA area and about to start the cash out refinance process for a rental property I own. The rental property is a duplex I bought 6 months ago (July 2020) with all cash for $165k. The property's current value is approximately $200k-215k based on comps in the area, however, I still need to get an official appraisal. Does anyone have recommended banks, private lenders, etc in the Virginia area that could offer 75-80% loan to value ratio for my property?
Most Popular Reply
In the current environment, you're going to have to do a lot of shopping. I just closed on a refi in December and every bank I talked to was doing something different.
I don't think anyone is doing 80% anymore so max is 75% but most of the banks I talked to were at 70%. Some, like Primelending, wouldn't use ARV because it was a rental property. They would only do purchase plus renovation cost.
I ended up using Lending Home. If you PM me I can put you in touch with the account manager I used. They're a national (I think) private lender that will finance into a 30 yr. They are expensive but when is private money not. They did give me 75% ARV and because it was such a good deal the numbers still worked.
Good luck!