Re-financing strategy

[Cristian Petrescu]

Hey all

I've heard people do re-financing quite often and was wondering if this was a viable strategy

Basically what I am thinking of doing is - and keep in mind I'm currently un-employed, living in Canada but wanting to invest in the US and have no money in my pockets to invest in anything

So:
1- finding a property below value with a motivated seller and all that
2- finding a lender who would lend 100% of the deal for 6-12 months
3- refinance the property and pay back the lender

This is a really simplified version of what I thought of doing so I guess my next question is how doable is this?

1 is pretty straight forward but 2 and 3 I haven't had experience with that yet
How realistic is it to find a lender that not only would lend 100% but also for 6-12 months
Also, how strict is the 6-12 month "seasoning" rule - like if I own the property for 6 months would a bank even look at my case and want to re-finance me knowing that I am in Canada and un-employed?

Thanks guys - I'm still in the process of trying to learn all this stuff so any comment is helpful

[Don Konipol]

Quite frankly I know of no one that will lend money to an unemployed investor with no experience and no capital, let alone lend 100% of purchase price.

Your chances of your #1, finding a below value property with a motivated seller and being able to get it under contract are slim to none.

Your chances of #2 and #3 are none.

You need to establish experience, capital, and income before you invest. Typically, property purchased with no down payment has negative cash flow that must be fed every month.

Get a good nights sleep and stay away from the gurus on late night TV infomercials!