Refinancing a property bought with cash.

[Joseph Duenas]

I'm hoping to get a good answer from the financially savvy folks here:

If a person bought a house for $50K that was valued at $100K, using cash from a line of credit, could the person then turn around and immediately refinance the house with a bank at 80% of the value?  Or would they have to wait a year? 

Thank you. 

[Brent Coombs]

Each Bank will have their own Rules, and overlays. Fannie has a "Delayed Financing Exception" which can kick in immediately (if they want to). But no, that'd only get you your $50k back.

https://www.fanniemae.com/content/guide/selling/b2...

So if you want to borrow $80k against your $50k outlay straight away - good luck with that!

Hopefully you'll get some help from others who deal with specific Lenders who may have a shorter than 1 year seasoning period. I've heard 6 months is common - maybe some are at 3 months?)...