BRRR Strategy Question

[Ryan Sasscer]

When using the BRRRR (Buy, Rehab, Rent out, Refinance, Repeat) strategy, what kind of loan is the refinance?Is it just like getting a loan for the purchase of a house and thus count toward a maximum number of Fannie Mae Freddie Mac loans an individual can have at one time (I believe 5 is the limit).Or would a refinance not count toward this number?

I currently only own one property (closed last week) with a conventional loan, so I know I can still use conventional lending for another 4 properties, but as I look ahead to the future, I am thinking about using cash to purchase my new properties by pulling our equity from other properties with refinances.Will refinancing in this manner allow me to be able to get more than the limited (five) conventional loans, or are loans from refinances considered the same as purchasing with a conventional loan?

[Natasha Keck]

You're limited to 10 Fannie Mae loans. If you are married, and you both have income, each spouse can have up to 10 loans but you need to hold title in just one person's name. Generally the BRRRR strategy is talking about long term (30 yr? 15 yr) loans. Congrats on closing your first property.