Important Tip from HMB regarding your Investment Property

A big part of our mission here at HMB
is to be a valuable source of info
on the world of real estate investing.

Our clients are our lifeblood and if they
aren’t doing deals, neither are we.

So here is a tip for this week, that I
recently learned from a mortgage loan
officer friend of mine:

An investment property MUST be off the
market for 6 months or more before a
refinance is possible.  Even a rate/term
refinance.

This is a guideline for most every bank/
lender out there.

Let me rephrase that in a way that
might sound more familiar:

You buy a property to rehab, using either
cash or a hard money loan.  Your plan is
to sell it, as long as you get the price you
want.  If it doesn’t sell, you’ll just refi and
hold it for awhile.

Sound familiar?  Sure, this is a very common
scenario.

But now that refi won’t be approved for 6 months
because it was listed on the market for sale!
Ouch!

So a word to the wise:  look into doing the
refinance BEFORE you put the property on
MLS!

Doing it that way could save you some real time
and trouble.

We hope that tip helps!  Stay tuned for more.

 

Jason, Jeff, Chris and Ben
HMB Cribs Bloggers
Hard Money Bankers, LLC
http://hardmoneybankers.com/