BiggerPockets

Maybe, after some period of ownership.

Not a HELOC, though, that's essentially impossible right now on investment properties.

What you probably want to do is to refinance based on a new appraisal and pay off the hard money loan and get some cash. You'll probably need to hold for at least a year in order to be allowed to do the cash out refi. Probably a year just to do a rate-and-term refi and pay off the HML, almost certainly a year for a cash out. Cash out is going to be tough, no matter what.

You'll need income. The rental income probably won't be counted until you've held them at least two years. So, you need to have good income and a good DTI.

You'll need good credit. At least 720, over 750 would be better.

You're likely to be limited to no more than 70%, maybe 75% LTV. The appraisal will be VERY conservative. Be sure you know your comps and keep an eye on the comps over time. If you do go down this road, meet with the appraiser. Provide a list of comps and give them the information about what you've done to the property.

You should start tracking down lenders ASAP. Do some calling on smaller banks and credit unions in your area and find out who's lending on real estate. Find out their criteria and how you stack up against them.

Originally posted by Mike Nelson:
So when you refinance a house that you purchased with a HML, they won't get their money ASAP? It will take a year?

If you refinance in less than 6-12 months, the most you will get out of the refinance is 75% of what you paid for it. If you wait 6-12 months, you may get 75% of the newly appraised value.

So, yes, if you want to get all your cash out, you'll likely need to wait at least 6 months, and most likely 12 months.