BRRRR Refi help needed - seasoning issue from LLC to Personal

[Derek Walvoord]

Hi All,

I am trying to BRRRR and I am getting stuck on the refi part. I used LendingHome, a hard money lender, to do the rehab. They make you initial close in an LLC. For the post rehab/rented out/taking cash out part, lenders want to close in my personal name. Not really a problem, but I am running into seasoning issues. Wells Fargo will apparently do HELOC's for investors, but will only use the post-rehab/new value after 12 months. TD Bank will perhaps do it, but I don't think they service Chicago. Huntington Bank is having a hard time going from LLC to personal (which they require) for less than 6 months seasoning.

Anybody have an out here? What am I missing?

I would be happy with either a cash-out refi or a HELOC.

[Kevin Romines]

All conventional loans that are cash out will require you to be on title for 6 months or more. A rate and term can be done less than 6 months. You wont qualify for delayed financing which allows cash out up to the full purchase price + plus closing costs on the refi, because you had a mortgage on the property. Delayed financing is only allowed when you paid cash for the property. 

Other then that, maybe a portfolio loan at a local community bank will get you the cash you need without requiring the seasoning on title?