Refinancing to build new construction and rent it out.

[Benito Pruneda]

If i was to refinance my home for 100k and build me a new construction for 80k and rent it out for $1200 and refinance the new construction for 100k and build another new construction for 80k and rent it out againg for $1200... would a time come were the bank wont refinance your new constrution? even if the market value of your new construction is way higher then what you are asking to refinance it for.  Im planning to invest next year and im trying to get as much info as possible. thank you in advance for your information.

[Joseph Dunphy]

be aware of the shortage of skilled workers in the construction trades. The price of skilled labor as I understand it is about 40 percent of your costs, and in our area some general contractors have been rudely surprised in mid project to have skilled trades go to other states to do higher paying jobs.