Why can't it be funded

[Michael Sarrail]

I am interested in a duplex. It has been fully rehabbed. The numbers make sense to me.
Now, the seller is saying that it can only be sold cash ... They are cash only because there are not any comps in that area to support the appraisal needed by the bank.

First, can this be correct? I would believe so if the area doesn't have similar properties in similar condition.

Second, how would I find financing in this situation?

Last, I am able to buy cash ... would I be able to refi cash out in a situation like this? How long would I need to wait to get money out?

[Jason Hirko]

@Michael Sarrail yes, plenty of times the comps won't support the actual value, particularly in appreciating markets or neighborhoods in transition. And no, the same rules apply to a cash out refi as a new purchase loan - it still has to appraise. Easiest thing to do is find a lender, get that sucker appraised, and then whatever the difference is between what the bank will lend and you need to come up with to close, you pay out of pocket. Happens all the time.