How to Qualify for a Private Money Cash-Out Refinance

Getting approved for a private money cash-out refinance is easier and faster than a traditional bank loan. Here’s what you need:

1. Equity in the Property

Most private lenders require at least 25-30% equity in your investment property. The more equity you have, the more cash you can pull out.

2. A Strong Investment Strategy

Private lenders don’t require traditional income verification, but they do want to know:
✔️ How you’ll use the cash-out funds
✔️ Your exit strategy (flip, refinance again, or hold as a rental)
✔️ How the investment will generate strong returns

3. A Profitable Property

Since private lenders focus on the property’s value rather than your personal finances, a profitable investment with strong cash flow or resale value will boost your approval chances.

4. Experience Helps, But It’s Not Required

While having past real estate deals under your belt is a plus, first-time investors can still qualify if the numbers make sense.

Published by Noah Perlman

We connect ambitious real estate investors with capital- fast. Whether you’re seizing a time-sensitive opportunity or scaling your portfolio, we deliver solutions with clinical accuracy. We write the script for your real estate wealth.