BRRRR in Huntsville in 2022. First post on BP

[David Wherry]

Hello,
I am finding banks are not as willing to do a cash out refinance for BRRRR strategy these days. I have spoken with 2 lenders and 1 will not do a cash out based on a hypothetical new appraisal. The other lender is checking to see if they can offer that (which shows that it is still dicey). Do any North Alabama REIs have any insight or advise?

[Scott Abernathy]

If you have the means to hold the property for six months or more, usually you can cash out refi the property. Check with multiple lending institutions. Also, look into portfolio loans from the bank. Those loans are not traded on the secondary market and are much more flexible. They will be a little more expensive and require more down payment.