BRRR Strategy Question!

[Vic Vega]

I think the BRRR strategy is great but my biggest concern is being able to refinance quickly (1-3 months). I've heard some people say on conventional loans it's no problem and you can refi very quickly. Some say lenders want to see a 1-2yr period of ownership before allowing a refi.

I assume it may be case by case depending on the lender? What is some of your experience? Has this ever thrown a wrench in your BRRR practice?

Lastly, how much importance do you place on having 70% loan to value ratio after a refi?

[William Murrell]

The underwriting is going to be the same. They'll still want to check your credit, appraise the house, etc. The HELOC adds a lot more versatility because you're essentially turning the equity into a credit card that you can use and pay back as you see fit, but it still will take a while. Call every bank near you and just ask what type of products they're offering, what rates they have, and how long to close. Then compare. Good luck!