I recently closed on a property in Sedona, and am excited to be stepping foot into this market! I'm currently using a hard money loan for while I do a bedroom/bathroom add, with the plan to cash out refi on completion in a couple months. I've searched both the forum and the internet and seem to keep running into the dreaded 6 month seasoning period. Has anyone successfully found a local credit union, smaller bank, etc they've used to get around it. The criteria I'm hoping for would be the following:
-Jumbo loan ($1.2 mil ARV)
-80-90% LTV (hoping to use a 10% down second home loan if possible, as it will be a vacation home/self managed Airbnb)
-No seasoning (or light 3-4 month seasoning, as the intention is to be ready to refinance end of Jan/early Feb)
Residential Real Estate Broker · Sedona, AZ · Member since 2017 · 754 posts · 504 votes
4y
Hi John.
Typically on a no seasoning cash-out refinance, borrowers can pull cash back out of their recently purchased property if the purchase cash was from an acceptable source.
Acceptable sources include:
Cash from borrower's own financial accounts.
Funds from a home equity line of credit.
Funds from a personal loan.
That being said, I can point you toward a few local MB's that may have access to private money sourced from more flexible lenders. But conventional/jumbo... you'll likely need 6+ months.
@Chad McMahan that's what I figured might be the case, if you would be willing to send me a DM of a couple anyway I would appreciate it. There might be a couple ways to get creative and make it work.