Cash Out Refinance without W2?

[Sammie Baker]

Got our first investment property through a bank statement loan since we are self employed. We are putting 20% down and are stuck with a 6% interest rate. 

Two part question:

A:  I'd like to do a cash out refinance eventually but can I do this without a W2? 

B:  Is it possible to both lower our current interest rate (6%) plus get cash out of the property to use as a down payment for another investment property?

Ultimate Goal is to BRRRR all investment properties. (rent using STR-airbnb)

I appreciate any advice! 

[Reid Chauvin]

Hi @Sammie Baker - individuals CAN qualify for a conventional cash-out refinance loan with self-employed income. Whether or not you specifically can qualify is dependent upon the income you've claimed the past 2 years, how much the home is being rented out for and your monthly debt obligations. 

It is definitely possible to both lower your interest rate AND get cash out. Whether or not you specifically can depends on factors like your credit score, the current value of the home and how much you owe on your current mortgage. You can only get a loan for up to 75% of the current value of the home for a conventional cash-out refi.