Real estate investor loans. This is a topic with answers which change almost daily. In fact until the middle of November of 2008 we could do non-seasoned cash out refinances for real estate investors based on the new appraised value to 75% of the appraised value. This meant a real estate investor could purchase a home, do the rehab, get the property occupied (or support it with their own debt-to-income ratio) and come to me to pay their self back.

Not any more. Thanks to Fannie Mae and the geniuses in charge it doesn’t matter how stable of a real estate investor you are, how much income you can prove, how much you have available in liquid assets or how high your credit score you cannot get a conventional solution for a non-seasoned cash out refinance on a real estate investment.

Since I do not like to leave you without a solution know this: You just need seasoning. For real estate investment properties to do a cash-out refinance you will need a minimum of six (6) months of seasoning on title. This means from the day you purchase the property and your name goes on title you must wait a minimum of six months to do a cash out refinance through conventional methods.

There are other ways to do a cash out refinance but if you tend to complain about closing costs and interest rates (tongue firmly in cheek but serious) do not bother to call. We are steadfastly brow-beating Fannie Mae to wake up and smell the coffee in regards to high credit, high income and strong asset borrowers. Until then, buy what you can, rehab it and toss it back on the market.