Financing purchase with credit card

[James Conaway]

Between myself and my wife we have about $200k in credit card credit. Our credit card debt is about $2k right now.

I have been building up credit lines for a long time in anticipation of being able to do something with this capital opportunity.

I would like to finance purchasing a property using credit cards for as a short term interim way to quickly close on a deal. The property price would be a maximum of $70-80k. The property needs some renovation and wouldn't qualify for a traditional loan.

The plan would include repairing the property up to the point I can do a cash out refinance of up to 75-80% of the property within 3 months. The other 20-25% would be my personal cash.

Yes, I would have to pay interest on the money, but its manageable. The rates I have are very good.

The question I have is:

Would a escrow company accept credit card checks for deposit into the escrow account for purchasing the property?

I have done my own research into this and have found many instances of people saying it's a bad idea because of the lender having a big problem with it, but this is a all cash purchase with no lender involved.

I have checked with a few credit card companies and they stated they don't care what you use the checks for.

I see the benefit of doing this is avoiding the use of a hard money lender and their heavy fees. I become my own hard money lender.

Risks:

When it comes to do the cash out refinance my DTI would be a factor, but assume that wouldn't be an issue. I have a good income and no other debt. I would run the numbers to make sure I could still qualify for a cash out with an acceptable DTI 30-35%.

FICO score. I would be the one financing the cash out, so most of the debt burden would be on my wifes cards, which I would not be factor as she wouldn't be on the loan.