cash out investment property TX

hi tinomax,

welcome to the forum.

i think you are talking about cash out refinance. you can be able to do cash out refinance on an investment property in tx. just shop a bit and if you get best rate and term, you can do it.

feel free to ask if you have any further questions.

best of luck,
larry

Certainly !

Yes, 80% is the maximum lenders are allowed to lend based on the value of the property.

There are few things you need to be concerned with/aware of during your hunt for a lender:

- You will need to go FULL DOC if your credit score is below 720.
- You might be able to go STATED/VERIFIED if your credit score is equal to or greater then 720.
- The majority of NOO lenders require title seasoning of 12 months (unless you can secure an agency approval).
- The majority of NOO lenders will require no more then 10 properties owned/vested to qualify (this is also an agency guideline).
- FNMA (Fannie Mae) guidelines will not allow a LTV beyond 75 for cash out refinances.
- There must be contiunity of obligation in order to qualify.
- You will be required to have a min. of 6 months PITI in cash reserves in most cases.
- The property will be required to positive cash flow in order to qualify.

Hope this helps.

Regards,

Scott Miller

EZ.....gonna disagree with you.....not all lenders are following fannie ALT-A guidelines.......There are lenders that will do stated with scores down to 620 and about the same ltv as fannie......in other words there are other options.

I disagree also with these items posted:

- You will need to go FULL DOC if your credit score is below 720.
- You might be able to go STATED/VERIFIED if your credit score is equal to or greater then 720.
- The majority of NOO lenders require title seasoning of 12 months (unless you can secure an agency approval).

You can go stated income with a credit score under 720 and Fannie Mae does not require 12 months seasoning which represents the majority of lenders.

Have a client that owns over 20 properties, s/f and multi, he is looking at doing a cash-out on four of them or if this is not possible of selling four of them to his partner. His scores are not in the 600's but he has excellent income and rent rolls, the person buying them if it goes this way has good scores but has to go stated or bank statements any help is appreciated. "katherine.sepelak@candormortgage.com"

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Hi Kathy,

If the person who owns the property does not have a good credit score, then he/she will not get approved for a refinance. In that case, selling the properties will be a better option. However, keeping in mind today's market situation, the lenders are not ready to give stated income loans. However, your client can sell the property if anyone with good credit score is interested to buy them.

Thanks

I have a borrower who has a primary home and an investment property.
He is VA Refinance Streamline his primary home. He wants to refinance and get cashout on his investment home. My questions is can he refinance and get cashout on his investment home. The property is in TExas. Is it true that no one can cashout on their investment home only their primary homes? Please advise. AEmmite .. Loan Officer .. Texas

Hi

As far as I'm aware of, one can surely get a cash-out refinance on an investment property, provided one fulfils other eligibility criteria like credit score etc.

How Can I refinance 6 Investment properties not including my primery home....Fannie Mae and Freddie Mac will only let you do 4. Is this true beacust I am stuck because I can not refinance

Hi Contect US,

Fannie Mae or Freddie Mac may not allow you to refinance 6 investment properties, but have you contacted any other lender? They may allow you to refinance all of your 6 investment properties together. However, you will have to pay interest at a rate higher than the current rate. If you are ready to pay that much extra, there are some lenders in the market who may help you refinance your 6 investment properties.

Thanks,

Jerry

I am reading you postings and this is what I am understanding. In order to get a cash out refinance loan I must have more that one investment property and good credit score here in Texas. Right?

Hi Dee,

You need to have a good credit score in order to do cash out refinance on your investment property. A good credit score is a must to qualify for any new loan in this market. However, it is not true that you need to have more than one investment property to do cash out refinance. If you have one investment property and there is equity in it, you can refinance. However, you can do cash out only up to a limit of 80% LTV in Texas.

I have a duplex paid in full and fully occupied. Would like to do a cashout refinance on property. Low owner occupancy rate at this complex. Please contact me if you are a LO and can help. Thank you. "amandathuynh@kw.com"

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