I've stepped in to help many clients refinance and I'm shocked at how many times the investor doesn't know even the basics of the deal they are in.

The rehab was complete, and we were ready to refinance when disaster struck—a car crashed into the property the week we were scheduled to refinance.

Financial Highlights•Acquisition Price: $72,000•Renovation Costs: $35,600•Total Investment: $107,600•Funds: raised from personal savings and private lender•Appraised Value: $160,700•Monthly Rent: $2,150•Cash-Out Refinance: $3,200 after paying off private lender and myself•Rate and Term Refinance: 30 yr amortization, 7.25% interest, 70% LTV•DSCR: 1.45%Lessons learned?

Who cares about lifetime interest costs, except to the extent you can easily lower them (refinance to a lower interest rate) to increase your cashflow.

I've had one recent multifamily deal in Florida exit with a 32% IRR and one hotel deal in Atlanta refinance and return 110% of the original invested capital through dividends and the refinance and the hotel continues to make regular 16% distributions.  

You can do an 80% LTV cash out refinance, but it will depend on the state and if the property can debt service at the higher LTV 

You can also do this on a refinance.Else, you can find private money, take out a HELOC if you have a lot of equity, go hard money and then refinance after, or see if your preferred builder offers financing.

To get it out you either need to refinance which has costs OR you need to sell the property which has costs and potential tax implications as well!

Hold for what--to refinance?

Purchase my first rental property around $500k located within 30 minute drive of my home (North of Seattle), complete my first rehab, refinance, and cash flow positively.