Property Value / Delayed Financing Exemption / Cash Out Refi

[Edit B.]

I've read Fannie Mae guideline on this, but am recently confused after speaking with a few lenders. According to the DFE on Cash Out Refi, if a property is purchased in cash;

1.) 6 month seasoning period is not required

2.) 75% LTV or lower is applicable

3.) Value in LTV is based on appraised value

4.) Total cannot exceed purchase plus closing costs

Both lenders I spoke with today are clear on 1 & 2 but when it comes to 3 they're are doing whichever is lower of appraisal and purchase price. I dont see this on the Fannie Mae guideline- anyone else dealing with this or know why they are doing it this way?

[Andrew Postell]

@Edit B. sure, you can file the lien on the deed after purchase.  Seen it done many times.  And while not many people have the cash just laying around to do this, the ones that do are using it effectively.  

I feel with banks the more investor terminology we use the more they get confused. Just try telling a bank you are using the "BRRR method" on a "house hack" that you got "sub to"....they will have no idea what you are talking about....and even though all that is fine they will probably just say no to you because they don't understand what is going on. Just tell them that you are refinancing a loan. Keep it simple for them.