What is the CFN Mortgage Capital seasoning requirement for a lien (first & second) being refinanced in a rate & term refinance?
There is no seasoning requirement for first mortgages being refinanced in a limited cash-out refinance transaction. However, subordinate liens may be satisfied from the proceeds of a limited cash-out refinance provided that the lien has been in existence for more than one year or the file contains supporting documentation which verifies that the entire proceeds of the subordinate financing was utilized to either improve the subject property or to acquire it.
