Help with possible cash out refi

[Mike Szabo]

My wife and I are in the process of analyzing a unique deal. The numbers are looking pretty promising but we have a question regarding doing a cash out refi. The deal would be purchased with cash for around $180,000. Then once we get everything rented we would be getting a mortgage to get our money back so we can move on to the next deal. The deal is unique because it is a combination residential/ commercial deal. It consist of a single family home on the front of the property and a newer 1,000sqft warehouse on the back of the property. The warehouse has its own water meter, power and entrance from the street behind the home and they are separated by a fence. We will be renting out the spaces separately. The property is zoned residential/commercial. My question is when we go to get a mortgage, will a appraisal for a traditional mortgage give any credit for the warehouse or will it just consider the value of the house? The house by itself will not be valued at the $180,000 we are purchasing the property for. Would I need to think about a commercial loan or are there ways to make a mortgage work? Any advice is greatly appreciated.

[Jaron Walling]

Sounds like a commercial loan is your only option but interesting situation! 

What type of company would be renting the warehouse? Sounds like a great investment if you can lock down a 3-5 year lease on the warehouse. Is there any deferred maintenance on property? Have you ran the numbers to figure an estimated NOI?