so this one it balls – boils down to at the end of the year so you would do the cash out refinance at this point right cash out refinance we say that and you get 80 but you get 80 percent of whatever the house value is so we said the house is valued at eighty three thousand you would do that times 0.8 zero which will give you 66 4 so what happened is this is uh how much you owe this is the property you owe as how much you owe and this is um cash out value

that’s 80% of the 83,000 has to catch on value for the refinance so you would take this number from that number from which you owe because what happened is the the bank is on the picture with check for 68,000 I mean sixty six thousand four hundred they’re going to cut you that check and they’re going to pay off whatever you owe on the property so you owe this much and they’re going to pay that off using this takeaway 43 a and that’s going to leave

you with twenty-two thousand six hundred dollars twenty two thousand six hundred right this is cash tax-free going to cash out refinance so remember you pay thirteen thousand and six hundred as a down payment to buy the property but doing it by having somebody with the property our for a high rate of return which was at nineteen over nineteen percent didn’t the mortgage down to cash out refinance you end up getting this much money back so actually you

bought the house let me see actually you bought the house let the house for free and what actually happens is in this scenario you gain $9,000 from that move so in actuality they pay June $9,000 in that year to buy the property that you just got so how how crazy is that and that’s just one example that’s kind of a not far-fetched but an extreme positive example just because of the numbers are used but that’s the system and that’s the formula that it’s how people get money

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