Cash out on Rental Property You bought with CASH

Normally, the rental property home buyer would need to wait 6 months to get reimbursed per standard cash-out rules.

“Delayed financing” refers to the practice of buying a home with cash, then reimbursing the purchase with a refinance.

Mid-2011, Fannie Mae rolled out the “delayed financing exception.” Home investors may now receive a cash-out refinance after closing.

What is the max LTV on an investment property?

Max Loan to Value on Investment Property is 70-75%, loan amount vs property value. Depending on lenders.

Fannie Mae rental property refinance max LTV

• Units Fixed-Rate ARM
• No-Cash Refinance 1-4 unit 75% LTV 75% LTV
• Cash-Out Refinance 1-unit 75% LTV 75% LTV
• 2-4 unit 70% LTV 70% LTV

Freddie Mac rental property refinance max LTV

• Units Fixed-Rate ARM
• No-Cash Refinance 1-unit 85% LTV 85% LTV
• 2-4 unit 75% LTV 75% LTV
• Cash-Out Refinance 1-unit 75% LTV 75% LTV
• 2-4 unit 70% LTV 70% LTV