If were to approach a developer to build a multifamily property and the cost would be $2million, how do I determine what the post construction value (for cash out refinance) would be once its filled with tenants.

Also, should I use the same institution to purchase that I use for the refinance?

I know you can only have one FHA mortgage at a time, but is it common to refinance the first house with a non-FHA mortgage then buy the second one with an FHA.

@Marilynne Poumele-FloresDepending on how much equity you have, you could cash out refinance it into a property in that area as a down payment in the area you’d like!

When I first got this into contract, I knew the purchase price + rehab cost would be closer to what I can refinance it for, but I wanted to do it anyway because of the great cash flow.

And if you refinance for any reason, the interest rates are usually higher for investment properties.However, you WILL want to contact your insurance company and make sure that you change your policy from a primary home policy to a rental home policy.

Lastly, doing a “cash out” refinance, like what you’re considering, comes at a higher interest rate than doing a “rate and term” refinance (where you only refinance the current balance on your loan). 

. - I would consider refinancing before selling since refinance funds are tax free.

Is buying a house cash upfront and then refinance later be a better decision due to this fact?   

We owe 321K and the market value is estimated between 600-700 (we did not need an appraisal for refinance).