Getting a mortgage on a cheap house that is paid off?

[James Elden]

I've never bought a house before with cash so I'm a bit unfamiliar with this but I've been doing some research, basically I would be buying a cheap investment property for $40k or less with cash but my understanding is that it is possible to then get a mortgage on this to pull money back out? I initially read about this in a book but when I search online about this it's hard to tell if what they wrote applies to any house or only houses over $100k. Assuming the house is in livable condition, rented out to a tenant and I have decent credit, should this be relatively straightforward to do or are there pitfalls to watch out for?