All Forum Posts by: Andrew Steele

When you added that initial 10k in renovations your new value would have to be higher than the initial $100k investment. Lets say for example the new appraisal came in at $150,000. So your initial $90k (purchase Price) + $10k (rennovation/repair) leaves you all in at $100k. Bank gives you a new cash out refinanced loan of now $120k (80% LTV). This new loan pays off the initial $90k loan, gives you your $10k in renovations back and you brought out $20k in equity (minus closing costs etc).........and repeat