I am very interested in the BRRRR strategy but it seems like refinancing in my area would ruin any deal because the new mortgage would ruin the cashflow in almost every neighborhood. 

To me I count those things as probably more important than the actual deal itselfSo here are the numbers:Purchase price: 70KRenovation costs: 26K (I originally estimated 15K hahaha I wish)Closing costs: 2KAll in cost of 98K.Currently rented: 1200 per month.The bank appraisal with my local bank just came back at 134K and with a LTV of 75% I am eligible to refinance out 101K on the total deal.I am only refinancing 90K which will leave my all in costs at approx 8K on the deal.After PITI and reserves for maintenance, capex, vacancy, and management I will cash flow approx 200 a month with a 23% CoC return!

Hello guys, I'm analyzing several deals where I could use the BRRR strategy and get the most profit after refinancing (Cash Out).

I WAS THINKING THE BRRRR PLAN BUT IF NOT USING THAT HOW DOES SOMEONE GO ABOUT ACQUIRING THE SECOND HOME IF THERE IS A MORTGAGE ON THE FIRST HOME WITHOUT REFINANCING FOR THE EXTRA MONEY FOR THE SECOND HOME.

I also don't want refinancing risk, so any deals with only 3 to 5 year debt are out for me.

Even if you just refinanced to drop the PMI, you wouldn't be getting better than 4.6% on a multi-unit investment property. 

@Maugno Mora have you thought about doing a Home Equity Line of Credit instead of selling or refinancing?  

@Jorge Ruiz If the loan is closed within six months of purchase, even paying a private lien like that, it would actually be priced as a cash out refinance (delayed financing), which typically carries a slightly higher rate.If after six months, he probably has a shot of refinancing as a rate/term which is slightly better pricing.

But, ultimately, this is not a screaming deal because your cash on cash return before refinancing is only about 6%.

I also don't want refinancing risk, so any deals with only 3 to 5 year debt are out for me.