Searching for a solution on Tax Deed purchase/ rehab/ cash out refinance

[Edwin Bethune]

I'm looking to purchase a tax deed property in my state of alabama. The road block that's got me is after I've used a hard money loan for the purchase and rehab of a tax deed property, how will I get from under the hard money loan? Normally, you could cash out refinance but I don't see any credit union (CU) approving financing on an uninsurable title. I'm thinking I'll have to wait until I do the Quiet title lawsuit/get a clear and (an insurable title) title insurance. But then again how would I pay back the initial hard money loan in the mean time.

Note: Alabama has a 3 year redemption period, so, the Quiet Title lawsuit can't take place until after the 3 years of me acquiring the deed.

My goal is to 1 not be stuck with the hard money loan. Any advice would be appreciated