Posted by Tony-VA/NC on August 08, 2004 at 10:03:03:
T.Byrd,
I am not an attorney so take this response with that in mind.
I believe you can find a closing agent that will work with you and hold the quit claim in escrow. I would want this agent to be someone I am familiar with and have worked with in the past.
My true reason for responding is a concern for the tight turn around you have give yourself. I am not sure what you are gaining by re-financing in 90 days.
Maybe your lender is different (they all are) but what I see most is that if you wait for 12 months (seasoning) of ownership, you can then refinance based upon the appraised value (if you are investing at wholesale prices, then this will be higher than your purchase price).
If you refinance sooner than 12 monts, then the lender’s typically lend based upon purchase price. Based upon the way you are approaching this deal, it seems that you are tyring to limit your out of pocket funds. If you refi in 90 days, you will likely receive a % of purchase price, which means you will still have to come out of pocket with cash for the balance.
This would seem to defeat your reason for having the owner finance the deal to begin with. Maybe I am missing something.
I would rather see you have the time you need to make the best of this deal.
Best Wishes,
Tony