Cash out refinance in DFW for SFH after rehab for an investment home

[Jason Sung]

Hi, I finished a rehab for an investment SFH and looking ready to do cash-out refi. I am running the property as mid-term rental and the current tenant signed the lease for 4 months.

I want to do the refi from a credit union. I contacted a credit union that I have used before but they only do cash-out refi with at least one year lease contract. Does anyone know a credit union that can do it with 4 months lease contract? I have good credit score and DTI.

[Devin Peterson]

Quote from @Jason Sung:

Hi, I finished a rehab for an investment SFH and looking ready to do cash-out refi. I am running the property as mid-term rental and the current tenant signed the lease for 4 months.

I want to do the refi from a credit union. I contacted a credit union that I have used before but they only do cash-out refi with at least one year lease contract. Does anyone know a credit union that can do it with 4 months lease contract? I have good credit score and DTI.

Hi Jason, what's the rate the local credit union is giving you for that program? Have you ever considered a DSCR loan? There are MTR debt service loan programs that don't require personal income to qualify (no dti). Of course, if you qualify with the credit union using your personal income and that rate is better, definitely go that route just saying documentation wise, DSCR may be worth a look if the rates the same with a much easier process / leas red tape.