All Forum Posts by: Ace Kaspar

Yes - you can definitely still do an effective BRRRR deal with a hard money loan to purchase, a lot of investors are very successful with this strategy.

And like some of the commenters have mentioned, the refinance "seasoning period" is typically six months, but not universal on all refinance lenders, some will allow cash-out refinances in as few as three months. Ideally, you should go with a lender that is BRRRR focused and friendly, and does both short term hard money financing and cash-out refinance loans in house (it won't be the same loan "converted" but the process will be much easier and smoother with using the same lender)

@Ace Kaspar That 6-month seasoning period is lender-dependant. I've done a cash-out refi after only 4 months of ownership. 

The best way to handle the financing for a BRRRR is to purchase the property and fund the rehab using private money (or hard money if you have to, but its usually more expensive) and then once you're rehab complete, you do the cash-out refi using a DSCR (debt service coverage ratio) lending product so you can get out of the short term financing (the private or hard money) and put the property under the less expensive, longer-term financing which would ideally be a 30 year fixed interest rate product.

I've done two out-of-state BRRRR's and I'm happy to go more in-depth if you want.

Good luck and keep us updated on your journey!

You don't have to pay a property off to BRRRR, you can acquire with hard money and refi with conventional.

I can offer you any loans of your choice, what's your email so I can send you the terms.

Hey Ace,

First of all-Shoutout to dreamville(aka Fayetteville, NC) my father was stationed at Bragg for 10+ years.

Second-The refinance period is typically dependent on the lender. For example, a VA loan can be refinanced after you have made 6 consecutive payments. A non-QM lender who tailors their mortgage products for investors may be more lenient to a quick cash-out refi.

Third-If you need a lender who can provide refinancing DM me, I will send you my recommendations.

Hello everyone. 

As I mentioned in the post above , can someone explain to me what a cash out refinance is, and also how can I use to it to refinance a HELOC ?

If you can give me a couple of examples shored up by some numbers it would be great .

Thank you .