Is it possible to buy a house with cash and then turn around and finance it immediately? We're looking at a property and only cash offers are accepted.

We have the cash to cover it but would ultimately want to immediately free it up for the repair costs.

Certainly ... we do this all the time.   Being able to go in with a cash offer gives you more bargaining strength and allows you to be more nimble.

You can cash out under delayed financing exception. 

I do it with apts. in commercial

However, with many local lenders, buying cash then refi is viewed as "risky" as it's a cash out. So you might get 60-65% LTV vs 75-80%

(Which is odd as sometimes I pay cash to close quicker. So what's the extra risk in my doing a refi to get my cash back vs a traditional loan where that same cash just isn't used?)

Oh. If you close cash then refi note you're going to duplicate a few closing costs. Title fees being the big one

Originally posted by @Cody L. :

Oh. If you close cash then refi note you're going to duplicate a few closing costs. Title fees being the big one

Other than registering the mortgage, you should not incur additional title fees unless there is a simultaneous change in registered ownership ... but, undoubtedly there will be variations between jurisdictions.

Great discussion, I have an additional question on the same thing:

Will a bank refinance a property that closed in cash for a foreign investor too ? 

Just be very careful with this. We did just that on our personal residence, as the bank we used was being very, very difficult when trying to get our mortgage. They waited until we contacted them to request more info, ad were just terrible to work with.

We bought cash, and planned to refinance and free up the money. Go figure, with me not having a W2, and my wife now in school full time with no income, this has proven to be difficult. We were told there would be one option and it was a long shot. Since that time the person working on our file has all but been silent for a couple of weeks now. It sounds like our situation we will not so easily be able to simply refinance out money back out... just something to think about.

Originally posted by @Roy N. :

Originally posted by @Cody L.:

Oh. If you close cash then refi note you're going to duplicate a few closing costs. Title fees being the big one

Other than registering the mortgage, you should not incur additional title fees unless there is a simultaneous change in registered ownership ... but, undoubtedly there will be variations between jurisdictions.

 So I've done this.  I've had properties under contract that I was going to finance, and the bank was taking longer than the promised date I've given the seller.  So I've paid cash for those properties to get them closed.   Then, once the bank is ready, we "close" again (their loan is now technically a refi vs. the purchase).

I've had to pay the title fees twice.  There is some discount on them the second time but not a lot.  And given title costs are regulated (and I have a good relationship with them to get a discount if it was available), I don't think it can be avoided.

Maybe it's just a texas thing. 

Sure you can get finances on the home. When I was a realtor, I had an investor pay cash on every house he bought. I would do comps in the neighborhood for him. This helped him to figure out. How much he was going to spend on fixing the house up, also how much he was going to pay for the home and what his return was.

Yep, I do it all the time. Typically will take me 3-4 weeks to get the loan.

is the loan based upon your income and the rental income of the property?

I have 7 places paid in full thinking of maybe getting financing on some of them

I have zero experience in looking at loan options on them

So any and all advice would be very much appreciated