Need Cash-Out Refi Help asap

[Jay Smith]

Greeting my BP family — seasoned investor here. I hit a snag and need lender intel:

I’m looking for a DSCR cash-out refinance program to pay off my hard money loan (or similar financing) that will allow me to use the appraisal value only to determine LTV — not the lowest listed price. I have a 2025 appraisal ordered by the lender and good through March 2026 with significant equity; seasoning and rental structure are solid; cash-out is the goal.

Current lenders are forcing LTV off the lowest list price  instead of the higher appraised value, which kills my cash-out. (Property was previously on the market). Who offers DSCR or Non-QM refi that:

• Uses current appraisal ≥ list price for LTV
• Allows cash-out on investment property
• Doesn’t penalize for recent list price history
• Will underwrite on property cash flow / DSCR for scale

Thank you for any specific lender/program referrals that will do this as I’m being told there are none. 

[Nick Belsky]

@Jay Smith

It is frustrating when you rehab a property then list it but it doesn't sell. The reason most lenders won't use the appraised value over the lowest recent MLS list price is rather simple... if you didn't sell it at one price, how could a higher appraised value be justified to base a loan from? Lenders are all about risk assessment. Lenders will always take the path to avoid risk. Much the same reason that if the appraisal determines the Fair Market Rent Value is lower than a lease you have in place, they will use the lower amount as it is less risk to them. Some lenders do allow a blend in that situation, but most do not.

With that said, there are a few bridge lenders whom will ignore a recent MLS list price, but it would be no different than being in the HML you are in now; similar rate, lower leverage, and interest only payments. You may not be able to access any of the equity you are trying to tap into.

Cheers!