In real estate, how might pyramiding work with the following data?

• Property value:  $260,000.
• Current loan balance:  $160,000.
• Maximum loan-to-value (LTV): 70%. Use 70% of the value to calculate the maximum cash out amount out of the refinance.  

Analyze the following data in your report:

• What is the maximum cash out according to the 70% LTV?  Show all of the steps of your calculations. 
• How much money is there to invest?
• Do you recommend that the investor refinance the property in order to buy another rental property? Explain. 
• Is there additional information you think would be important for your analysis?

Answer rating: 100% (QA)

a The maximum cash out according to the 70 LTV would be calculated as follows Property Value 260000 ... View the full answer