Souderton, PA · Member since 2014 · 2 posts · 0 votes
So I am curious to know how many other investors have come across a touch situation where they were not able to refinance or take out line of credit on rental property because they had to wait for 12 months even though market value of the property would easily support 75% LTV after some cash-out? And what was their solution?
@R.P - Typically if you go to medium to big size banks, they ask for 12 month ownership before able to refinance the loan. Also it depends if you are taking cash-out or if its an existing lien. For existing lien, you do not have to wait for any period.
With small banks or mortgage brokers; they are flexible and can have exceptions based on your assets, credit score and rental income. So the solution that has worked for me in the past is making phone calls to small banks, credit unions, mortgage brokers and understand the guidelines for each of them Each of them can be different, and usually I find one which fits my requirements