P
pcazar
Guest
Remodeling my home. Large 6 bedroom, 3 stories, big lot.
Splitting it up into 3 rentable units, and building a small 400sqft studio (permitted as a pool house).
Plenty of parking space.
I'm 40% through it. About to take out a loan to finish what's left.
I'm hoping for 100% LTV cash out refi. I’ve spoken to a bank here (Arizona), and they said they do 100% cash-out refi. (money could be used for anything).
120% cash-out refi. (if the money is used for remodel work.
I don't plan on selling the place. I plan on, living in one unit, and renting out the other 3. (lower my cost of living).
I have my own small business and plan on leveraging business credit, personal credit, and this cash from the refi. To accumulate as much capital as I can get my hands on, to purchase an existing business with a SBA 7a loan. Basically for my down payment.
My uncertainty is in the refinance (after I’m done).
I was told elsewhere, that once its divided it would be considered a multi-unit (higher rates/lower ltv)?
So I was thinking about the following:
Finish the remodel. Leave the entrances between units open/not closed off (so as to still look like a single house).
Add a small kitchenette in each unit now or after the remodel?
Cosmetically, the place has been remodeled inside and out. Much nicer.
Now I’d like to structure the remaining remodel work, with correct planning for the following:
Qualify for as low rates as possible.
As much equity increase as possible.
Any help/advice would be much appreciated.
Splitting it up into 3 rentable units, and building a small 400sqft studio (permitted as a pool house).
Plenty of parking space.
I'm 40% through it. About to take out a loan to finish what's left.
I'm hoping for 100% LTV cash out refi. I’ve spoken to a bank here (Arizona), and they said they do 100% cash-out refi. (money could be used for anything).
120% cash-out refi. (if the money is used for remodel work.
I don't plan on selling the place. I plan on, living in one unit, and renting out the other 3. (lower my cost of living).
I have my own small business and plan on leveraging business credit, personal credit, and this cash from the refi. To accumulate as much capital as I can get my hands on, to purchase an existing business with a SBA 7a loan. Basically for my down payment.
My uncertainty is in the refinance (after I’m done).
I was told elsewhere, that once its divided it would be considered a multi-unit (higher rates/lower ltv)?
So I was thinking about the following:
Finish the remodel. Leave the entrances between units open/not closed off (so as to still look like a single house).
Add a small kitchenette in each unit now or after the remodel?
Cosmetically, the place has been remodeled inside and out. Much nicer.
Now I’d like to structure the remaining remodel work, with correct planning for the following:
Qualify for as low rates as possible.
As much equity increase as possible.
Any help/advice would be much appreciated.