Cash offer and Refinancing after

[Devon Craychee]

Hey!

I am looking to pick up a property that was under contract as a two year lease to own.  The current tenant will not be able to purchase the house by the required date and can not sell the contract.  If he can not purchase it defaults back to the original owner.  He has offered it to me for the contract price plus a 5% fee.  It's a great deal because the contract was set two years ago and the price of the house has increased 40K.  It's going to have to be a cash offer because of the deadline so what I want to know is if I buy it for cash can I refinance/finance the house and pull that money back out.  It is going to appraise for more than I paid so will I end up getting more money?  I guess I don't understand financing a house I already own outright?  Do they finance the entire amount of the appraised value or a certain percent?  I am thinking I might be able to pick this house up with technically no money out of my pocket.

Can I refinance right away or do I need to wait a certain amount of time.

Thanks,

Devon