Updated over 2 years ago on . Most recent reply
BRRRR - Seasoning Period - Refinance
Hello all! I am an investor in Delaware county right outside of Philadelphia. I currently have two rentals properties near Widener University and looking for my third. I know finding a full BRRRR in the current real estate environment is near impossible, but I was curious how investors currently doing the BRRRR method are able to get out of their hard/private money and have the bank acknowledge the new value of the rehabbed house before the 1-year seasoning period?
All the banks I have talked to will only give me financing on the LTC rather then the LTV of the rehabbed house if it is before the 1-year seasoning period, thus I am not able to get as much money on the back end as I would like or I have to wait a whole year to refinance out.
Is anyone else having this issue? Would love to get some insight, feel free to message me as well, always looking for new connections.
Most Popular Reply
You can get out of the hard/private money with only 3-6+ months seasoning with a DSCR loan. No need to wait for 1 year of seasoning. PA can be a little tricky because of the PPP laws if its under a certain loan amount.