Hello Everyone,

I'm looking to cash-out refi a single family home that is worth about $100K that I have owned since November.  I did the rehab, have a tenant, and would like to get some cash back to do it again.  Who is willing to overlook the 12 month seasoning requirement?

Thanks

Jeff

@Jeff Roberts Where is the property? Is title in an LLC?

The property is in Cincinnati, OH. No, it is not in an LLC... yet.

@jeff roberts

The seasoning requirement from Fannie Mae is only 6 months.  Find a lender that doesn't have overlays.

If you don't qualify for conventional financing for one reason or another, portfolio lender/brokers should be able to help, although your loan amount may be an issue.  Generally, 75K is the minimum although there are a few that will go lower.

Stephanie

@Jeff Roberts as @Stephanie P. mentioned the typical seasoning for a refinance is 6 months from purchase date.  Are lenders telling you there is a 12 month wait.

Yes, almost everyone that I have spoken with has quoted the 12 month seasoning time.  I am aware that this is not a FNMA regulation, but knowing this does me little good if the lender has an overlay with a stiffer requirement.  I am frequently told that my my limit would be the price that I paid for the property plus any documentable improvements.    That typically puts me under the minimum loan limits and is not optimaI in any case.  I can, of course, continue to call the savings and loans in the area, and I'm sure that eventually I will find someone; or November will come and the problem will go away.  However, if someone else has a recommendation based on experience, so much the better.  

@Jeff Roberts

As others have mentioned you can cash out on the property now with conventional. A SFR is an LTV of 75% for an investment property and a MFR is 70% LTV for an investment property. Let me know if you have any questions on cashing out.

All,

Thanks to the recommendation of a fellow BP investor, I have found a local lender that seems promising- no lower loan limits, 30 year fixed, 75% LTV based on appraisal, 6 month seasoning, and reasonable rates and closing costs. I am going to pursue that option and will try to remember to revisit this thread with my experience. Thanks for your input!

Originally posted by @Jeff Roberts :

All,

Thanks to the recommendation of a fellow BP investor, I have found a local lender that seems promising- no lower loan limits, 30 year fixed, 75% LTV based on appraisal, 6 month seasoning, and reasonable rates and closing costs. I am going to pursue that option and will try to remember to revisit this thread with my experience. Thanks for your input!

 Do you mind sharing with us who that lender is? I'm going to be in the same situation shortly. 

Thanks in advance!

Shawn Huss with Chemical Bank was the lender that was recommended.  I spoke with him, and then per his instruction applied online on Tuesday night.  It was a fairly painless process.  If you Google his name and company, you will find it pretty quickly.