Hi all. Thank you for any and all advice. I could really use it. Me and a business partner bought a house with a hard money. There is no lien on the mortgage, the house is in Corpus Christi Texas. We rehabbed the property and are about 2 weeks away from completion. Everything I thought was going according to plan until we went to refi. There is a seasoning period of 6 months for the refi which is to our detriment due to the fees, etc. It behooves us to flip and take a profit but this was not our intention as we want to rent out and have passive income long term. My understanding is this was not the best way to do things for our property. We did not take a loan out so we don't have leverage essentially for the refi? We have a longer seasoning period because the bank or lender or whoever may have doubts about why we are selling so quickly? Essentially we closed on the property 2/1 and are going to be finished with a full rehab and ready for refi in 6 weeks time. Thought this was a smart thing to do, but apparently I am missing the boat on how to finance a property initially. I understand the whole idea of leveraging money that isn't yours to buy and finance a rehab, then turn that around to cash out refi with equity and to use that money for another property. What am I doing wrong people? What can I do better the 2nd time around?
