1st time BRRRR and understanding the financing part of BRRRR

[AraBella Hannum]

Hi,

I am planning to get my first BRRRR project in a month, but I am having a hard time understanding the finance part of BRRRR.

1. The property should appraisal for more than what you bought it for, then once that happens are you supposed to go to local bank to get it refinanced and you get money back from the bank if it appraises for more? Then with that money you get your pay back your private lenders/hard money?

2. Do your private lenders/hard money not have prepaying penalty if you refinance within the same year? 

3. How do you get private lenders/hard money to also pay for the renovations?

* This question is not about financing but when you looking at a house you are interested in doing a BRRRR do you take a GC out with you?

Sorry for all the questions but thank you!