Cash Out Refi

[Tony Gos]

I'd like to buy a residence with a margin loan secured by a stock portfolio. However, due to the variable rate, I'd like to be able to refinance it as a conventional mortgage down the road. One of the advantages to the margin loan is the rate is low, it is treated as an interest only loan (i.e., lower monthly payments) and requires no down payment.

When refinancing later, is anyone aware of any special rules that would be applicable? Such as, would I be required to put more money down (say, above the 5% standard for a home mortgage loan)?

Thanks!
Tony