Cash out refinance on BRRRR property

[Ashley Keeler]

Hello everyone! We are planning on buying our first property in the next few months. We will buy it in cash. We want to do a cash out refinance and brrrr the property. We both have high paying w2 jobs.

Do we need to have a certain amount of money in the bank for a certain period of time before we do refinance? We currently have our money in stocks and crypto and we don’t want to pull our money out sooner then we need to, unless required (riding out some gains).

We are wondering if we need to show money in a savings or checking account for a certain period of time or it is ok to just take it from our investments? Since we are buying the property cash, this question is specifically if there would be issues for the refinance portion.

Thanks for the advice!

[David Kelly]

@Ashley Keeler

Qualifying for Investment properties requires 6 months of reserves, even if you aren’t bringing cash to close. This is why they are requesting it.

Most assets like stocks, 401k, bank accounts will work as long as they can be withdrawn.