Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 16%
$32.50 /mo
$390 billed annualy
MONTHLY
$39 /mo
billed monthly
7 day free trial. Cancel anytime
Creative Real Estate Financing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 5 years ago on . Most recent reply

User Stats

12
Posts
20
Votes
Monroe M.
  • Rental Property Investor
  • Florence SC
20
Votes |
12
Posts

Should I refinance out of a hard money loan with the same lender?

Monroe M.
  • Rental Property Investor
  • Florence SC
Posted

Should I refinance out of a hard money loan into a 30 year mortgage with the same lender?Is this a good Idea?

Most Popular Reply

User Stats

1,543
Posts
1,100
Votes
Kevin Romines
  • Lender
  • Winlock, WA
1,100
Votes |
1,543
Posts
Kevin Romines
  • Lender
  • Winlock, WA
Replied

The general thought is that you should always refinance out of a hard money loan into a better loan if you are going to keep the property versus selling it? If you want cash out and you plan to get the best rates and terms (Fannie Mae / Freddie Mac) you must have been on title for 6 months or more. You can also do a portfolio loan as well for higher LTV's but also at slightly higher rates.

Even though its the same lender, what is the loan type that they are offering on the refinance? If its good terms, then take the deal. If you not sure, you can shop around to see what other terms are available. Don't let them pull your credit report, just give them an idea of your credit score and details about the refinance, anticipated appraised value, if you want cash or not, anticipated loan amount. The lenders should be able to give you a rough quote on the rates and closing costs, then pick your lender and go forward?

I hope this helps?

Loading replies...