HELOC then Refinance (without BRRR)

[James Palassis]

I've learned a lot about the BRRR stategy, and I have a question about the refinance part of it. My primary residence is paid off, and I have an open HELOC on it. Sometimes I come across deals on MLS (through my realtor) that, when I run them through the BP calculator, will cashflow. Sometimes there are very minor needs to make them rentable (mostly just paint).

My goal is to use my HELOC to appear as a cash buyer offering quick closing in hopes of additional flexibility on price from the seller. Then once the property is rented and generating cash flow, I'd like to refinance using traditional 20% down 30 year term. So I guess it's a BRRR without the repair component.

A couple of questions regarding this:

1. Is there a "seasoning period" on this strategy. Will a lender make me wait a period of time between closing using my HELOC and refinancing?

2. Any flaws in this strategy (other than buying off MLS doesn't get me the most bang for my buck)?

Has anyone had success using a HELOC on primary to pay cash, then refi'ing into traditional financing?