Seed money and paying it back.

[Alex Smith]

Say I find a good deal. All the numbers work out. My father in law pays cash for the house 100k. I then put 25k into rehabbing it. Now I want to pay my father in law the 100k back and try to get most of my 25k back.
Would the next step be going to a bank and saying I need to get a loan for this house that my father in law owns? Or would it be as simple as getting a contract together taking it to a title company. My father in law sells me the house and my lender (a bank) mortgages the house in my name? The bank then releases 100k to my father in law? And 25k to me? And I have a mortgage for around 160k (little over 20% equity) 

Could someone please simplify the processes the easiest way possible. I have a father in law that is ready to fund my deals if I do the rehabs. I just need to Insure that I can get his money back and switch everything over to my name under a mortgage.