cash out refi vs heloc on a Brrrr??

[Bobby Forsythe]

Can I ask Why a cash out refi is better than a Heloc when u can pull out up to a 100% on some Helocs and a cash out only gets u 75%. Please lmk what the benefit of the cash out is over the Heloc since u can still pay ur hard money back and do all the same things. Thanks 

[Aaron W.]

@Bobby Forsythe A HELOC can be more advantageous if you don't already have a deal to put the capital to. The interest rates are typically a little higher and have a limited withdrawal period.

A cash out refinance will typically have a lower interest rate, but you must start making payments right away, so it is better if you already have a plan for using the capital.

You can't really go wrong either way, but some planning on how you plan to use the funds may help determine which way you go.

Best of luck!