Refinance after cash sale - loan from family member

[James D'Amico]

Hello, I’m having trouble wrapping my head around a creative way to borrow money and refinance to pay that person back.

Back story is, I’ve done the unthinkable and relocated with no housing or employment lined up, however, I have a very strong work history. I’m looking to purchase a home, ultimately an investment property, prior to finding employment, making traditional financing unobtainable.

I have about 90k is cash reserves and approached a family member with the idea of loaning out some cash (around 100k) to earn interest, for me to buy a property outright. I’d supply them with a down payment and a reasonable interest rate allowing me to keep a certain amount in reserves. Looking around the 150k property range.

After closing and settling down, immediately finding a job for w2 income, updating/repairing said property, I’d look to refinance to pay back the original 100k family loan and get into a 30 year conventional.

I’m having a hard time creating the necessary steps, if this is even feasible or logical. Wondering if anyone has been through something similar that can lay it out simply for me.

Thank you in advance!