Pulling out purchase price & rehab costs using delayed financin

[Grant Waugh]

Hey BP!

Does anyone have experience in using delayed bank financing and rolling the rehab costs into the price of the mortgage with the bank? I've heard this can be achieved by asking the title company to add your contractors invoice cost to the title so it gets added to HUD. You can then disperse the funds through the bank. After the rehab, you are able to pull out the purchase price plus the rehab costs when the delayed financing mortgage kicks in based on the HUD amount. Is this right? Would love some insight if anyone has experience with this strategy. Thanks