How Fast can you Refi Out?

BRRRR - Buy, Rehab, Rent, Refinance, Repeat
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How Fast can you Refi Out?

Rick Albert
Real Estate Agent · Los Angeles, CA · Member since 2018 · 2k+ posts · 1k+ votes

Hello All,

I have a triplex under contract cash and lenders are telling me I have to own it for 6-12 months. Anyone out there faster or is this common?


This particular property is in Alabama.

Thanks!

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Tarik Turner
Lender · Hackensack, NJ · Member since 2016 · 1k+ posts · 372 votes
4y
Every lender has their own criteria but you can get something done after 3 months in some circumstances
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  • Trevor Alexander
    Lender · Corvallis, OR · Member since 2021 · 93 posts · 54 votes
    4y

    6 months for a cash-out refinance unless you qualify for a delayed financing exception (see guidelines below). There is no wait time for a R/T Refinance -- a Lender may tell you there is because it would be an early payoff and they lost the commission they made from that deal.

    https://selling-guide.fanniema...

    3Reply
  • Dave Skow
    Lender · Seattle, WA · Member since 2014 · 2k+ posts · 899 votes
    4y

    @Rick Albert- depends on if you want to do a straight  refinance or a cash out  refinance  

    0Reply
  • Rick Albert
    OP
    Real Estate Agent · Los Angeles, CA · Member since 2018 · 2k+ posts · 1k+ votes
    4y

    It would be buying the property cash and then getting it back after we close and the work is complete.

    0Reply
  • Tarik Turner
    Lender · Hackensack, NJ · Member since 2016 · 1k+ posts · 372 votes
    4y
    Every lender has their own criteria but you can get something done after 3 months in some circumstances
    3Reply
  • Eliott Elias
    Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
    4y

    You have to wait at least 6 months to get full LTV

    0Reply
  • Michael Oliver
    Rental Property Investor · Greenville, SC · Member since 2018 · 35 posts · 16 votes
    4y

    Most lenders require 6 months. There are some that will do three just have ask around!

    1Reply
  • Nate Sanow
    I​nvestor & Agent · Tulsa, OK · Member since 2016 · 1k+ posts · 1k+ votes
    4y

    90 days is doable if you shop around

    1Reply
  • Stephanie P.Pro Member
    Washington, DC Mortgage Lender/Broker · Member since 2016 · 4k+ posts · 2k+ votes
    4y
    Quote from @Rick Albert:

    Hello All,

    I have a triplex under contract cash and lenders are telling me I have to own it for 6-12 months. Anyone out there faster or is this common?


    This particular property is in Alabama.

    Thanks!


     Depending on the loan product and loan to value, no seasoning is available.  To get the best pricing, waiting at least 3 months is required.  6 months is the norm.

    1Reply
  • Timothy Hero
    Lender · United States · Member since 2020 · 1k+ posts · 499 votes
    4y
    I have many DSCR lenders with 3 month seasoning and we can start the process @ 2 months.

    Far below average rates too.
    1Reply
  • Timothy Hero
    Lender · United States · Member since 2020 · 1k+ posts · 499 votes
    4y
    Quote from @Eliott Elias:

    You have to wait at least 6 months to get full LTV


    maybe conventional. Not DSCR.
    0Reply
  • Eliott Elias
    Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
    4y
    Quote from @Timothy Hero:
    Quote from @Eliott Elias:

    You have to wait at least 6 months to get full LTV


    maybe conventional. Not DSCR.

    For DSCR as well

    0Reply
  • Timothy Hero
    Lender · United States · Member since 2020 · 1k+ posts · 499 votes
    4y
    Quote from @Eliott Elias:
    Quote from @Timothy Hero:
    Quote from @Eliott Elias:

    You have to wait at least 6 months to get full LTV


    maybe conventional. Not DSCR.

    For DSCR as well


    I've closed over 100 DSCR loans as a broker. I partner with a long list of lenders and only one requires 6 months seasoning. The rest are 3 months. I'm not sure who you're getting your info from, but you're clearly being misled.
    1Reply
  • Eliott Elias
    Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
    4y
    Quote from @Timothy Hero:
    Quote from @Eliott Elias:
    Quote from @Timothy Hero:
    Quote from @Eliott Elias:

    You have to wait at least 6 months to get full LTV


    maybe conventional. Not DSCR.

    For DSCR as well


    I've closed over 100 DSCR loans as a broker. I partner with a long list of lenders and only one requires 6 months seasoning. The rest are 3 months. I'm not sure who you're getting your info from, but you're clearly being misled.

     Mind putting me in touch with those? 

    0Reply
  • Timothy Hero
    Lender · United States · Member since 2020 · 1k+ posts · 499 votes
    4y
    Quote from @Eliott Elias:

    I can quote you on my site. However, I can't list my site here due to BP's soliciting rules.
    0Reply
  • Eric GoldmanBusiness Member
    Lender · PA · Member since 2019 · 359 posts · 192 votes
    4y

    really matters what product i guess.... 6-12 months is standard to use new value....

    484-574-4878
    G2loans- Investor and Commercial Mortgages531 Reviews
    WebsiteView Page
    0Reply
  • Matthew Gaddis
    Member since 2022 · 22 posts · 5 votes
    3y

    There are a few lenders that offer no seasoning for Cash-out refi's. They are capped at 75% LTV, but you can pull a little value out of the property, if it is there. Pretty much all of them are DSCR loans that need >1 DSCR.

    It is possible to get up to 85% LTV, if you use a R/T refinance on the first loan and use an investment second mortgage or HELOC.

    Otherwise, you are probably looking at a delayed financing situation where you can get back the purchase price + any documented expenses until you have seasoned the title for >6 Months. 

    0Reply
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