Bypassing credit score limit on cash out refinance

[Chris Parker]

A recent snafu with my credit sunk it to the point where I'm below the 700 necessary for conforming cash out refinance, but above the 680 for a conforming "limited cash out refinance".

I have several free-and-clear homes I would like to cash-out refinance. I also have a roughly equal amount of cash sitting around. 

Can I create an entity, give the cash to it, have it give me personally a non-conforming "cash out" mortgage on the property I want to refinance, then get a limited cash out conforming mortgage which pays off the entity, but gives no extra cash to me directly?

Given this thread, it would seem that the answer is actually yes, but I would like to confirm.