Finished rehabbing a property? You’re sitting on a goldmine of equity, and yes, you can cash it out in just six months with a non-QM loan. Forget waiting a full year to use the new appraised value like conventional lenders like banks and many mortgage brokers demand.
Can You Pull Cash Out After 6 Months?
Yes. A cash-out refinance taps your property’s equity, turning your rehabbed fixer-upper’s higher value into cash. Non-QM loans let you skip the 12-month wait of conventional loans which is perfect for quick-moving investors.
| Question | Answer | Details |
|---|---|---|
| Refinance after 6 months? | Yes | Non-QM loans make it happen; conventional loans need 12 months. |
| Good for rehabbed properties? | Yes | Post-rehab value spikes mean bigger cash-outs. |
| Investor-friendly? | Yes | Non-QM loans fit flippers and self-employed borrowers. |
Why Non-QM Loans Work for Investors
Our non-QM mortgage loans are your shortcut to cash before the market turns. They’re flexible, fast, and built for investors who don’t fit the cookie-cutter mold of traditional lending.
- Speed: Cash out in 6 months using the new value, not 12 months.
- Flexibility: Easier for self-employed or irregular-income investors.
- More Cash: Borrow up to 75-80% of your property’s new value.
Example: Rehab a $1,000,000 property to $2,000,000, and you could pull out $500,000+ in cash with our non-QM loan. Not all non-QM lenders have these products. Some that do offer this have other non-sensical barriers such demanding cost of improvement receipts or limiting you to the lower of the purchase price 12 months ago or improvement costs.
Risks You Can’t Ignore
Non-QM loans aren’t a free lunch. Know the trade-offs before jumping in.
| Risk | Yes/No | How to Handle It |
|---|---|---|
| Higher interest rates? | Yes | Be prepared for .75% to 1.00% higher interest rates than conventional. |
| Tougher to qualify? | Yes | Get your credit score above 680 (ideally 720) before applying. |
| Hard to find lenders? | Yes | Work with a broker (us) who knows non-QM loan details and red tape others encounter. |
Steps to Cash Out Fast
Want that cash now? Here’s how to make it happen.
- Appraise Your Property: A $300,000 rehab could boost your value by $600,000+.
- Gather Documents: Rehab receipts (if available), bank statements, property details (before and after photos).
- Apply: Pick fixed or adjustable rates based on your goals.
- Spend Smart: Reinvest in flips or clear high-interest debt.
Who’s This For?
Not every investor needs a non-QM loan, but they’re a slam dunk if you are:
| Investor Type | Good Fit? | Why? |
|---|---|---|
| Property Flipper | Yes | Fast cash fuels your next deal. |
| Self-Employed | Yes | Flexible income rules help you qualify. |
| Long-Term Landlord | No | Conventional loans may save you more on rates. |
Tips to Win
- Ask lenders about hidden restrictions like purchase price and cost of improvements made.
- Boost your credit scores for the best terms.
- Plan your cash-out to maximize ROI (e.g., acquire new properties).
- Time your refinance when market values peak.
| Tip | Impact | Action |
|---|---|---|
| Compare loan products | Saves thousands | Get quotes from at least three. |
| Improve credit | Lowers rates | Pay down debt before applying. |
| Strategic cash use | Boosts ROI | Invest in high-return projects. |
Get Your Cash Now
Yes, you can cash-out refinance after six months with a non-QM loan. Just six-months seasoning. It’s your ticket to turning rehabbed property equity into cash for your next flip or investment. Don’t wait. Reach out to us, your expert non-QM mortgage lender today!