BRRR ?? On 2nd Property

[Edison Nunez]

Hi everyone...

I currently purchased a property on Auction.com for $43K and will like to apply the BRRRR strategy but have some questions. First, see numbers below.

Purchase $43,000 

Closing cost $4,500

Rehab $2,500

Rent $1,200

ARV $80,000

So I have invested $50K cash and will be renting for no less than $1,200.   

The lease will start on January 1st 2017.  Here's the big question...

Will I be able to refinance this thing right away after the lease starts?  I need my money back so I can do it again.  

 Thanks in advance...

[JD Martin]

You can, but you'll only be able to get a percentage of your purchase price. You'll have to wait at least 6 months in order to get a refi based on your new rehab value.