HML - how fast can I refinance out?

[Ishviyan D.]

My question is how fast can I refinance out of a hard money loan and what are my refinancing options? I'm guessing a cash out refinance wouldn't be applicable, but a term/rate refinance would? And if I understand it correctly, a term/rate refinance can be done as soon as one day after the property has been rehabbed. Is this accurate? Below is the scenario I'm looking at. I'd appreciate if anyone can poke holds in my assumptions since it's the first time I'd be using a HML: - Purchase price: $50k - Rehab: 30k - HML terms (100% of rehab: 90% of purchase): 12% interest; 3 points; other misc. fees. - HML: 75k - Rehab time: 6 weeks - Total HML cost: approx 4k - ARV: 100k I'm assuming I can do a term/rate refinance in week seven, even before the property is tenanted. I'm assuming that a term/rate refinance is done at 75% ARV, which means my HML loan of 75k will be paid off through replacement with a conventional loan. Total out of pocket based on the above= 5k (which is what I put in for purchasing the property) + 4k (HML cost) Anything I am missing or should look out for? Anything I got wrong above? Thank you!

[Jeff Rabinowitz]

The terms of the refinance will vary depending on the lender you choose. Every lender will have different products with different terms and requirements to qualify for the different loans. Check with different types of lenders (credit unions, local banks, portfolio lenders, regional banks, private lenders, etc) if you wish to find a wide range of options. I recently did a cash out refi for a local buy/hold investor ~20 hours after he purchased the property. Of course, this was a special situation but special situations are not that hard to find if you look for them.