All Forum Posts by: Devin Cohan

Thanks for the insight guys. My thought was to take a cash out refi, add to other funds and start a system of doing a flip-to-flip-to-flip strategy then aquire a buy and hold. That would be the ideal system at this time while keeping my full time job for living expenses. The purpose of keeping the refi property rather than selling to get the funds for 1st flip would simply principal pay down equity position which is a slow process but if it's $110 a month principal payment I could realize $2600 in 2 years if I sell off property, correct?

Hey BPers,

I have heard or read countless investors say on podcasts and forum posts that they cash out, refinanced to pull out the equity to purchase another deal. My question is once someone does the refi are they typically expecting to still cash flow on the property refinanced or is it typically a non cash flow mortgage pay down equity strategy. The reason I ask is that I have a property that is a good candidate for a cash out refi strategy but would barely make the 1% rule after the refi and have heard that's on the edge of cash flowing pennies, breaking even, or cash flowing negatively. Do most of the investors I hear on the BP continue to cash flow after the refi or what? Appreciative of your time in answering this post.

Thanks, Devin

First and foremost I appreciate all of those who lend their knowledge/expertise to this inquiry. I have listened to countless podcasts and read many posts and the subject of cash out refi to obtain capital to reinvest is prevalent. I want to know the basics of the cash out refi process. I purchased my primary residence 4 years ago and have built roughly $30,000 of equity with $5,000 cash, some sweat equity from my father in law and myself, and a modest amount of appreciation. I plan to begin my REI career, following this unintended house hack, by rehabbing another property and want to know if I should sell my primary or cash out refi and rent it out? I am not asking for a direct this or that answer just some info on the refi process to make an educated plan of action.

@Carol Venolia 

Are you in the mobile home sector? If so, is your $300 a month your hoping for cash flow or NOI?

@ Leslie A. 

Congrats! Do you mind sharing how many units you have. Are they all in the realm of mobile homes? If so what's the average acquisition cost and how much are you targeting for cash flow/per unit/per month?

@JPaul Mills 

Thanks, I look forward to attending. 

Hello to all BPers, 

I've been on the site for about 3 months now. I've listened to countless BP Podcasts,   read more than my fair share of forum posts, and have sifted through hundreds of blogs on my quest to educate myself before I began posting. I Should have started the day I joined BP because it's so easy to connect on topics of your choice. I am a Pensacola BPer who loves learning about the ins and outs of real estate. I am currently waiting for my real estates license application to be processed so I can begin officially in the industry. Definitely plan to thrusts myself into investor status ASAP. Looking for as many REIAs as possible. Live and breathe education, soak it up like a sponge. Appreciate, honor, and respect those who plow the road ahead and give insight of their experiences.

Devin Cohan

Thanks @Darrell Shepherd for the details. I see you're in GA, what is your market? How did you find your best lender?

@DerekTyler With your above mentioned numbers $100-200k purchase price, how much does your hard money lender want as down payment, how much (ballpark of your average experience) of the $40k goes towards the renovation (labor and materials)? Newbie here, thanks for your time and insight!