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Updated over 4 years ago,
BRRRR - Possible to be negative cashflow after refinance?
With the BRRRR strategy, is it possible to not cashflow as a result?
Let's say you have a mortgage for $500,000. PITI is $2800. Average rent is $3000.
ARV is $700,000. Bank gives you a loan-to-value of 80%, or $560,000. Your new PITI (because the loan amount is higher) would be higher, right? Am I thinking about this right?