Cash out Refi with more than 4 financed properties

[elvizzle]

I currently have 7 financed properties and 1 fully paid off investment property.  I purchased that one with all cash.  For the past 3 years, I've been trying to do a cash out refi, but I can't seem to find a mortgage broker, credit union, or bank to do this because I have over 4 financed properties.  I'm willing to do a low LTV, like 70%.  Has anyone been in this type of situation?  How did you solve it?

Thank you!

[Another Reader]

Possibly you can find a portfolio lender that will do this.  There are some lenders that lend in the 4 to 10 financed property window, although cash out refis on investment properties are really difficult to do.

Arebelspy might have someone that can do this.  Perhaps he can provide a referral.

[arebelspy]

Arebelspy might have someone that can do this.  Perhaps he can provide a referral.

I do, and probably can.

I assume (since you say you've been trying for 3 years) that you have 6 months or a year seasoning on title?

What state are you in?

You shouldn't need a portfolio lender still under 10 (though one would work, it is an option, just not a necessary one).

[elvizzle]

I assume (since you say you've been trying for 3 years) that you have 6 months or a year seasoning on title?

I bought the property in 2009, so yes it has been more than a year

What state are you in?

I'm in CA.  Property is in CA as well.

You shouldn't need a portfolio lender still under 10 (though one would work, it is an option, just not a necessary one).

Really?  My lenders are OK doing a purchase loan, but are unable to do a cash out refi.

Thanks so much!

[Another Reader]

A lot of conventional lenders have overlays that cut off at 4 financed properties, you need to find the ones that don't.  After 10, the market is limited to portfolio and private lenders.   Cash out is more difficult across the board.  Arebelspy's connections are more current than mine, so he's the "go to" guy here.

[arebelspy]

Okay, just talked to my mortgage broker and confirmed for you, he'll have no problem doing that.

I'll PM you with more info.

[elvizzle]

Thanks arebelspy for the referral.  It turns out that fannie mae will allow a cash out refi if you have more than 4 financed properties ONLY if you do the cash out within 6 months of purchasing the property.  Back when I purchased the property in 2009, I thought the property needed to be seasoned before getting a loan, but now it's exactly the opposite.  Your referral is still trying to find portfolio lenders to fund my loan.  Hopefully this information helps someone out.

[arebelspy]

Thanks for the information, that's actually really good to know.

It definitely used to be the opposite, I wonder when it changed.