How To Use A Cash-Out Refinance For Real Estate Deals | FortuneBuilders

Abstract

A cash-out refinance is simply a way to borrow against the value of your home to secure additional capital. This cash infusion is usually used for home repairs, updating an existing property, or even consolidating debt. The investor pays off the existing mortgage using the new loan terms, thereby pocketing the cash difference. This new source of capital can then be used to both make improvements. Take a 72-minute online training class. For more information on the cash- Out Refinance. For a cash-Out Refinance, take an online class and learn 5 ways to fund your next deal. It’s important to know how to use this kind of refinance. It's worth investigating whether and if there is Tax Benefits. This might be the biggest benefit of all to using this kindof refinance for real estate purposes. The interest on the loan you’ve procured is not tax-deductible, as are (generally) much of the closing costs associated with the transaction. This is not always the case.