Cash Out Refinance for First Project

[Chardae Eduruke]

My husband and I own a Home Improvement Business (General Contractor) and we would like to start investing in our own properties to Rehab and Flip. We are new to this side of real estate and are trying to find the best options for funding our first projects without using our personal money (or these least amount possible).

We have a home that we have equity in but our state (DE) isn't qualified for me to do a HELOC but I can get a refinance cash out. Is this a good idea or should we look into other means of funding?

[Will Fraser]

Hi @Chardae Eduruke! Welcome to the BiggerPockets forums! A cash-out refinance is a great option for tapping into the equity in your current home(s) when a HELOC is not in the cards.

You'll likely have the best luck pulling this equity out with a bank you currently have a relationship with, as many banks are fearful of the impending sky falling event.