i need to know how long i have to own my home before i can either refinance it and get cash out, or should i take out a second mortgage on it?
2006-12-15 03:43:34 · 3 answers · asked by kathy e 1 in Business & Finance ➔ Renting & Real Estate
do you have equity? If so they'll let you get into it. If youre doing this out of desperation for some reason, dont risk your primary residence.
2006-12-15 03:46:46 · answer #1 · answered by David B 6 · 0⤊ 0⤋
A Home Equity loan can be applied for without seasoning as long as there is equity to borrow. If the property appraised for more than what you paid for it, you may have equity. Or, if you paid money down when you purchased it you have equity. Or, if you have made substantial improvements on the property since you bought it, there may be some equity as well. As far as refinancing with a new first mortgage, it depends on the investor. Most investors require 12 months of seasoning to refinance. However, the improvement scenario mentioned earlier can be an exception because the value should have increased accordingly.
2006-12-15 12:03:58 · answer #2 · answered by larry r 3 · 0⤊ 0⤋
if the purchase price is lower then the appraised value, then you cannot take out the extra equity, for 1 year, this is called SEASONING THE EQUITY, or PROPERTY SEASONING. if you bought the house for MORE then the appraised value (WHY WOULD YOU DO THAT ANYWAYS?...) then you can take out the equity. you cannoty cash out for 1 year. period.
2006-12-15 11:52:51 · answer #3 · answered by David P 2 · 0⤊ 0⤋