You can get a loan on a house you own outright (i.e. one that doesn't have a mortgage on it), but not for as large a percentage as you can a mortgage. I bet most people who fully own their home have a Home Equity Line of Credit, which is much less structured than a mortgage, but it might only be in an amount available for about 50% or 60% of the value of the home. For instance, if you own a home worth $100,000, you might have a HELOC of $57,000 -- of course, individual banks will change that amount and give you a "mortgage" amount they think is a reasonable risk.

The answer to your question is yes. You can pay cash and get a mortgage later. As TV pointed out, you can also get a HELOC. It is entirely up to you as to which one is to your advantage.

The process for getting money out of a house is a bit more convoluted than people suspect. Cash out refinancing usually has an interest rate penalty, the best path to get cash out of a paid off home depends on the specifics of your bank and their penalty.

One trick you can use is a HELOC into a refinance. So you take a HELOC out (my bank will do a 90% LTV HELOC) and after six months refinance. Since you are refinancing a loan it is not typically considered a cash out refinance, but the interest rates on the HELOC can exceed the penalty for cash out in some cases, so look carefully and do the math.

If you are in a non-recourse or single action state, this type of refinancing is likely not going to enjoy those protections. If you are in Alaska, Arizona, Washington, Utah, Idaho, Minnesota, California, North Carolina, Connecticut, North Dakota, Texas, or Oregon I would consider those risks before moving forward.

Well, to make a cash offer you have to have the cash or the approved mortgage ready to go.

I don't see the problem. As said, mortgage rates are not high. High was in the '80s when interest rate was over 16%. Anyway, the interest you pay on mortgage debt, up to $1,000,000, or $500,000 if single or filing separately, is tax deductible.

If you wait 1 or two years you will have to start the application all over again. Approval is good for only 60 or 90 days, depending on loaner.

You may want to take into consideration that mortgage interest on the "delayed" mortgage most likely won't be deductible on your taxes.

Yes, it's just called a Cash Out Refinance. Most loan programs allow up to 80% for the loan to value on a cash out refi, so it would be similar to putting 20% down on a purchase. You could do this 1, 2 or any number of years after buying a home with cash. The interest will be tax deductible. There is no penalty on the interest rate for the fact that there is no mortgage and you own it free and clear. No need to get a HELOC first either. steveroth.me

I believe there is some confusion here when everyone assumes the OP has a house to take a loan out so HELOC, refi or home equity loans would not apply. I don't see anything in the OP's text indicating the person owns a property, or I'm I missing something.

What I take from the question is the OP wants approval for a loan by the underwriter for a mortgage at the present interest rate and lock in rate for as long as needed, and make a cash offer as if he or she had all the cash in the bank.

The answer is no to both and there isn't a program or loan name. A loan without any asset backing the loan as collateral to giving you quick access to cash would be a signature or unsecured loan. It isn't going to happen, and locking in a interest rate for months or even years also isn't going to happen.

@kevin9408 said, "What I take from the question is the OP wants approval for a loan by the underwriter for a mortgage at the present interest rate and lock in rate for as long as needed"

That is not how I read the OP's question.

The OP states they are aware of programs that allow owners to front funds for homes and then be repaid those funds when financing closes. They are wondering if they can do that same thing at a later point.

They can't do exactly that same thing, but they can do a cash out refi.

Just to reiterate, there is a difference between a cash out refi and getting financing immediately after paying cash.

In some states and tax positions that difference may be immaterial. However, in non-recourse and single action states the difference is significant, as it is for certain tax situations.

But guys the OP did not indicate they have a house to REFI, or CASH OUT. Unless the original poster wants to jump in and state they have a house they can refinance, get a home equity loan, or line of credit no comment has any thing to do with the question.

NO NO NO, you can't get a mortgage without collateral and get the cash to use years later. NO NO NO.

@kevin9408 - The OP did indicate they have a house to refi. They are literally (not figuratively) asking about getting financing later for a home they are paying cash for. If they buy a house with cash today and want to finance it in two years, they have a house.

This is not rare. I often buy houses with cash and then close the financing later. You should apply for the financing prior to closing so that the financing is considered as "financing for the purchase of a new home." The OP is describing using cash to buy a home, apply for the financing before closing (presumably so that the financing is considered as "financing for the purchase of a new home"), but not actually close the financing until later when there is an interest rate drop.