Cash Out Refinance Home Loans

Cash Out Refinance Home Loans:
    Many of the rules for cash out home loans have changed over the last couple of years. Cash out loans can be done for conventional, FHA, and VA loan products. The amount of equity that you can pull out varies by program, type of home (owner occupied versus investment), credit score, etc.

    As a general rule for conventional loans, you will need to retain 20% equity in the property to be able to do a cashout refinance. Mortgage insurance isn't available for a cashout refinance. If you have a second note (whether you bought the home with the second or took it out later), by refinancing and paying off the second note, it is considered a cashout refinance, even if you aren't taking any more money back. FHA loans are limited to 85% of the appraised value while VA cashout refinances will allow a veteran to go up to 90% of the appraised value. 

  In all cases you'll be fully documenting your income, assets, value of the property with a full appraisal, and identity. Processing typically takes a month or so, but depending on the time line for the appraisal, it may go sooner. Interest rates are dependant on credit scores, remaining loan to value after the refinance, loan size and type of property you have (owner occupied versus investment property.)

Every situation is different, please call us for a tailored quote based on your unique circumstances.

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