Newbie Investor Financing Question

[Daniel Rutherford]

I know questions like this are addressed all the time. I did my best to piece together various posts before asking, but I'm still not putting together the big picture like I should.  Apologies in advance for beating dead horses.

I am looking to buy and hold my first investment property.  I found a foreclosure that looks to be an opportunity for instant equity in addition to a solid cash flow.  I need to better understand my financing options before getting too far into the process.

Details:

Purchase Price: likely $70,000 - $75,000 (currently in online auction)

Reno Costs: ~$35,000

ARV: $135,000

Right now I can put 20% of the purchase price down with no issues while still maintaining 6 months of PITI reserves. This would still leave me in a spot where I need to finance the reno costs. If I'm going by what many hard money lenders will finance, it seems to max out at 65% ARV. That would be $87,750.

My question has two parts.

1) If I take the lended $87,500 along with my $14,000 (min) I fall short of fully funding the reno.  Am I missing anything?  Do I have any other options to finance the reno?

2) Given that hard money financing is 12%+ interest only, do most long term lenders prefer 6 or 12 months of seasoning before I can refi?  Is the expectation to have negative cash flow until it's seasoned?  Can I do cash out at the same time as this refi?

I'm new to creative financing, so I appreciate any sage advice from those of you who have done this quite a few times.