Investor · Dunedin, FL · Member since 2015 · 8 posts · 0 votes
Hi everyone has anyone taken the approach of buying a property for cash then renovating it then refinancing it to recoup your money? I was told that it may be an option I just would like other people's opinions on it who have done it and who did the loan for them?
Investor · Dunedin, FL · Member since 2015 · 8 posts · 0 votes
9y
Hi William,
That's exactly what I'd like to do i was reading that on SFH I can do 75% LTV which would recoup the majority of the costs. What bank d you use to do the cash out refiance loans?
Investor · Pearland, TX · Member since 2016 · 246 posts · 136 votes
9y
conveniently my HML will refinance into a traditional mortgage, so i don't need a bank as a lender.
most banks require that you own the property for a certain amount of time in order to refinance, thus some of the hard money guys will refinance into a 30 yr mortgage at comparable rates.
try to find a HML in your area and call and ask if they will do that as well.
Saint Louis, MO · Member since 2015 · 15 posts · 2 votes
9y
it is best to wait a year to refinance because the bank will use the appraised amount. If you refinance before a year they use the sale price. If you wait a year you will probably recoup all of your money
Monterey Park, CA · Member since 2014 · 157 posts · 80 votes
9y
Depending on the banks / credit unions / loan officers you use, some will do 6 months seasoning and use appraised value. Some may do less than 6 months. You will need to find the right providers for you.
Lender · Greater Seattle Area, WA · Member since 2015 · 80 posts · 57 votes
9y
FNMA uses a 6 month waiting period....and if you can get the purchase money with out encumbering this house, you can actually get a loan based on a new appraisal a few days after purchase using the "FNMA delayed financing option" (google that) up to 75% of new valuation. We just closed 2 x4plexes in Washougal W.A. under 4.0%. See my other posts....