How Refinance out of a Hard Money Loan

[Sammy Abu-hijab]

So I just used a Hard Money Loan with a 10% interest rate it's a five-year duration. I had to use Hard money loan because I don't have work history to get a conventional loan how long do I usually have to show employment until I can Refinance into a conventional loan with a better interest rate? There was $120,000 Equity built into the deal because I got it for such a good price, and the goal is to keep it as a short-term rental property. It's my first property, and I don't know if I should fix and flip it or should I stick it out till I can refinance. How does one come to a conclusion?

[Robin Simon]

You are going to want a "DSCR Loan" with a private lender that specializes in short-term rentals. Most lenders will want to see if leased up with a long-term tenant before doing a cash-out refinance, but some will allow the refinance w/o a lease if you are planning to make it a short term rental