Do you cash out now and hold the money until something good comes

[Sandy Salazar]

Hi everyone, would love to get some advice for BRRR method. I have a property currently that I want to use for the BRRR method. I can take out about $100K to purchase other residential real estate. Property is currently rented and if I take out the $100K the tenant would cover the mortgage (as well as all cap ex/vacancy/etc). Do you guys take out the cash NOW and hold on to it until you find a deal even if it takes 6-12 months? Do you just hang on to the money until something comes up? I would hate to be paying higher interest rate on this 100K with nothing to show for, but don't want to miss an opportunity if it arrises.

[Scott Trench]

Great question - I'd have a use for the cash before going to cash. 

It's fine to be opportunistic, but I'd advise that, before you take it out, you write out a thesis describing exactly what you would purchase after you move to the cash position via refinance. What exactly would be "good" and what would you pull the trigger on?