Refinancing Investment properties! I have questions!

4 Replies

Hey guys!

I have been doing some research and reaching out to a few of my loan officers for info on the refinance process. I sell a lot of distressed properties in the Philadelphia market. Mostly fix and flip but i also do some properties ideal for renting out. A few of my clients refinance all of their projects while others keep their money in the property and take the cash flow. Here are a few questions for you guys;

A) How long do you have to own the property in order to be eligible for a refinance?

B) Is it possible to refinance properties bought with hard money through a traditional bank?

C) What is the percentage amount that you can refinance in both case scenarios?

Anything else on the refinance process that you think is important to know would be extremely helpful as well. Thanks for all your replies!

all of your questions depend on the lender that you are dealing with.  some lenders will refi as soon as your rehab work is complete. some lenders require 6 months to a year seasoning.  The ltv will also vary but i would count on it being in the 70% to 75% ltv range

Originally posted by @Jesse Sobel :

Hey guys!

I have been doing some research and reaching out to a few of my loan officers for info on the refinance process. I sell a lot of distressed properties in the Philadelphia market. Mostly fix and flip but i also do some properties ideal for renting out. A few of my clients refinance all of their projects while others keep their money in the property and take the cash flow. Here are a few questions for you guys;

A) How long do you have to own the property in order to be eligible for a refinance?

B) Is it possible to refinance properties bought with hard money through a traditional bank?

C) What is the percentage amount that you can refinance in both case scenarios?

Anything else on the refinance process that you think is important to know would be extremely helpful as well. Thanks for all your replies!

 Hi Jesse,

a & b) For HML -> Conv, there is no waiting period.

c) For investment properties: 75% 2-4 unit, 85% SFR.

If you meant to ask about cash out refinances, which are ones where you net >$2k through the transaction, it's more restrictive.

Chris Mason, Lender in CA (#1220177) and California (#1220177)
415-846-9211

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