Refinance loan to pull out downpayment

[Ludovic Ott]

Hello,

I just bought a condo for $195,000, put 20% down and got a loan for the remaining. From what I could read on BP, it seems like I could refinance my loan and get my down payment back. How can I do this? What are the prerequisites? 

According to me it seems almost too good to be true. If I get my down payment back, I can then re-invest in another property and repeat the same process over and over. It would be great!

Thank you.

[Chris Mason]

Originally posted by @Ludovic Ott:

Hello,

I just bought a condo for $195,000, put 20% down and got a loan for the remaining. From what I could read on BP, it seems like I could refinance my loan and get my down payment back. How can I do this? What are the prerequisites? 

According to me it seems almost too good to be true. If I get my down payment back, I can then re-invest in another property and repeat the same process over and over. It would be great!

Thank you.

Hi -- if you JUST purchased, and paid about fair market value, there aren't any reasonable cash out refinance options. You might be able to get a HELOC @ 90% CLTV, I'd suggest barking up that tree. Good luck!