Your rentals have built equity. A cash-out refinance turns that equity into capital for your next acquisition, while the property's own rent qualifies the new 30-year loan.
Program snapshot
We pay off the existing loan and replace it with a new, larger 30-year loan based on the property's current value. The difference, after closing costs, comes to you as cash you can use however your business needs.
Because it runs on our DSCR loan program, the new loan qualifies on the property's rental income and your credit. There are no pay stubs, personal tax returns or debt-to-income calculations involved.
Most cash-out refinances need around three months of ownership seasoning, extending up to six months depending on loan scope, credit and borrower profile.
Bought the property free and clear with cash? Our Delayed Purchase program needs no seasoning. Within the first six months you can finance based on your original purchase price plus documented rehab costs; after that, you refinance on the property's true loan-to-value.
About 3 months, up to 6 depending on the file.
No seasoning for cash purchases within the first 6 months.
Buy, rehab and rent with a hard money loan, then refinance out with cash.
Recycle equity into your next acquisition instead of waiting years to save it.
Upgrade units to lift rents and long-term property value.
Strengthen your cash position for vacancies, repairs and new opportunities.
Both run on the same DSCR program; the difference is whether you take equity out.
Goal
Cash-out refinance: Turn equity into cash
Rate-and-term refinance: Improve the rate or term
Max LTV
Cash-out refinance: Up to 75%
Rate-and-term refinance: Up to 80%
Cash to you
Cash-out refinance: Yes, after payoff and costs
Rate-and-term refinance: No
Best for
Cash-out refinance: Scaling into more properties
Rate-and-term refinance: Lowering or fixing payments
It replaces your current loan with a new, larger one based on today's value, and pays you the difference in cash after the old loan and closing costs are paid.
Have a property under contract or a project you are evaluating? Tell us where things stand and what financing questions you need to resolve.
