Since I'll be pretty close to 70% on the hard money, I expect not to be able to extract any cash on the refi.Jon

I extracted $200K on the refi and it now has some cash flow.

Without a bank participating, the transaction avoids the cost of mortgage or discount points, as well as origination fees and a host of other charges that lenders routinely extract during the financing process.

As of this month, all of our BRRRR properties have had all our initial investment extracted.  

Although it is somewhat more complicated than calculating the weighted average cost of capital (WACC) of a firm, there are several methods that investors can use to find an appropriate capitalization rate, including the following:Build-up methodMarket-extraction methodBand-of-investment methodReal estate valuation is often based on strategies that are similar to equity analysis.

Also keep in mind that you don't have to partner on a deal with an investor to extract value from them.

We lowered our rate on every property, and extracted som equity at the same time.  

Will probably sell in a few years.Besides finishing the basement, we've made the house "healthier/safer" by sealing the crawl space, installing a radon extraction system, and installing a SimpliSafe alarm. 

Will probably sell in a few years.Besides finishing the basement, we've made the house "healthier/safer" by sealing the crawl space, installing a radon extraction system, escape windows in the basement, and a SimpliSafe alarm.

A political economy  of poverty operates within these various corners of the mobile home park empire, where the needs of residents and the insecurity of their housing tenure offer sites for interested parties to extract surplus value."