Must Wait Six Months From Purchase For Higher Appraised Value

We often have borrowers buy under market value or buy in quickly appreciating markets. They always ask how soon they can refinance into a better loan when their loan-to-value ratios improve.

Lenders almost always correlate values to the purchase price for six months. This means that buyers need to wait six months before they can have their property appraised for a value higher than the purchase price for the purpose of refinancing. Some lenders require a full year of seasoning.

Lenders will make an exception if buyers make significant home improvements that can be documented.

Jay Voorhees
Founder/Broker | JVM Lending
(855) 855-4491 | DRE# 01524255, NMLS# 335646