Cash out refinancing?

A cash out refi is when you have enough equity in your home to refinance an amount greater than what you owe on it and use those funds for somthing else. For example, if you have a home worth $100k and you only owe $70K on it you can take out a new loan for let's say $85k and use the additional $15k for other debt or improvements etc. So you now have a new mortgage balance of $85k at your new refinance rate. This option is widely available provided you have the equity in your home to do it as well as being able to meet all of the qualifications to get a new loan...good credit, stable job history and income, low debt to income ratio etc.

Travis explained it very well. In my opinion rates this low warrant borrowing as much as you are eligible for. You can use the money to pay other higher interest debts or make home improvements or deposit into a retirement account that is performing better then the interest rate for the cash out refi. Best Of Luck!

Cash out refinancing is exactly what it says.. if you own a home with equity, you can refinance and rather than coming to the table with your closing costs, you actually get a check for however much of your equity you wish to pull out.. Example.. if you have a home worth $200K.. You owe $100K, and you need $25K to buy something.. You refinance your home at $125K, get $25K at close.. Most lenders will allow you to cash out up to 75% Loan to value.. in the above example, it would be $150K max LTV.... I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

First, what type is your loan? conventional, FHA, VA??? LINDA

A cash-out refinance allows you to take equity from property you own. Depending on whether you property is your primary residence, second home, or investment property, you will be limited to the amount you can borrow as a percentage of the home's value. Some programs allow you to take up to 90% of the home's value, although most lenders will be limited to the 85% allowed by FHA, or the 80% allowed on conventional mortgages. Interest rates are terrific right now. If you have high interest rate credit card debt, or need cah to complete a project or send a loved one to college, a cash-out refinance makes a lot of sense.Call me at 888-407-1592 to discuss this in more detail. ENG Lending offers mortgage loans across the country. We are the right company for your next mortgage!John Desmond, Branch Manager