It seems from this report that after you refinance, you have no cash in, making your ROI infinite.

Term used for this is infinite banking and it really does help.

I'd say anytime you have an "infinite" cash on cash return I'd take that invest any day of the week!

The return on investment is infinite since you used zero of your own capital.

The return on investment is infinite since you initially used zero of your own capital.

Win win winYou've locked down a nice investment, with an infinite return on investment.Your tenants have a nice place to live in.The neighbors and HOA should appreciate the work you've done. 

With the others you will have to pay taxes on interest earned, but your income bracket is currently low.Below are some links to more information.Solo 401k:https://www.biggerpockets.com/forums/51/topics/404427-setting-up-a-eqrp-vs-sdiraWhole Life Policy:https://www.biggerpockets.com/forums/432/topics/530823-infinite-banking-concepthttps://infinitebanking.org/about/https://cashflowbanking.com/faq/https://wealthfactory.com/rockefellers/book/

No matter where you live or where you own assets, I personally recommend the Series LLC to be a great tool for the individual investor who is planning to expand their operation, as it allows for you to scale infinitely for FREE.

I would be curious to get fellow investor thoughts on this potential deal I plan to make an offer on today.Purchase DetailsLocation - Kansas City, MOPurchase Price - $67,000Estimated Rehab - $25,000-30,000Estimated ARV - $135,000 (as high as $145,000)Estimated Holding Costs (includes hard money loan interest, property taxes, utilities, appraisal, inspection) - $7kTotal Out of Pocket - $20,400 (includes 20% down on purchase price and holding costs)Hard money loan covers 80% of purchase cost and 100% of rehab costs.Refinance Details:LTV - 75%Loan - $101,250 (this will leave us with $0-6,000 of our own money invested in deal including refinance costs)Estimated Equity in Property - $28,000-33,000Market Rent - $1,200Estimated Monthly Cashflow - $200-225/monthCash on Cash Return - 40% to infinite

I say this partly because there is no way your “closing costs” are $32k.The return on “no money down” is going to be an infinite %, either positive or negative.Look at the actual NOI, then see how 100% financing affects your cash flow.Do one of these sources realize you want to give them a 2nd mtg position?