A Cash-Out Refinance Can Help You Meet Financial Goals
A cash-out refinance can help you in several ways, such as:
- Use your home equity to accomplish your goals! Get money out for any need you choose.
- Make home improvements to increase your homes market value, pay for college, or consolidate high interest credit card debt, or even buy a new vacation home.
- If you are over 62, you can look into your Reverse Mortgage options.
Refinance Loan Options
- FHA Loan – Refinance up to 85% of your home’s appraised value.
- 30 Year Fixed – Use a Conventional mortgage with fixed payments.
- Adjustable Rate mortgage – Save thousands in interest with the lowest rates.
- VA Loan – Refinance up to 100% of your home’s appraised value with the VA loan if you’re a veteran, military member or surviving spouse. Emmett is a veteran and LOVES helping fellow vets.
Frequently Asked Questions (FAQ)
What’s the difference between a cash-out and a HELOC?
A HELOC or home equity line of credit, is a mortgage in second position. That means they are usually riskier loans and thus have variable rates or higher fixed rates. They can also be closed at any time for any reason, and have loan to value caps. A cash-out refinance pays off your old mortgage and gets you the cash for the difference.
How much cash do I get after refinancing?
The cash out amount is the difference between your appraised value, your payoffs of your old mortgage, any debts you are paying off and your closing costs.
What is equity? How can it help me get cash?
Equity is your ownership stake in your home. It is the difference between what your home would sell for, or the appraised value minus what you owe. You can use that equity to consolidate high interest debt and thus lower your overall interest rate.
How much does it cost to refinance? Do I pay costs out of pocket?
You will pay standard closing costs like any other mortgage. However unlike when you bought your home, you can use your equity to pay these costs. In general, the only out of pocket fee would be your appraisal.
Want to learn about your refinance options? Click HERE or call us at 772-618-5058!