Pulling of successful BRRR

[Sid Bobba]

Hello folks, here is my story. We recently bought a property under market value at 80k, put in 15k repairs, rented, and refinanced at 115k. My main question and I would like to get input from experienced people is about closing and refinancing cost. We almost paid close to 4k for closing and then about 5k for refinancing (with underwriting and appraisal fees). We lost close to 9k just in transactional costs!!!!! That seems to be a lot to me.

Is there any thing that we could do better? What are others doing, is this common?

Thanks,

Sudheer

[Leo Kotschenreuther]

@Sid Bobba Can you share a little bit about what your closing and refinance costs consisted of?

I haven't done a refinance yet but I can talk about the closing costs of my first deal (which I bought with a conventional 30 year loan):
Underwriting fees: 600
Appraisal: 675
Title Fees: 1650
Recording Fees: 150
One year of insurance prepaid: 600
Initial Escrow payment: 400

So overall, I paid about 4k for closing costs as well, but I bet this also depends from area to area.