Just because you already have a mortgage doesn’t mean you can’t go in a different direction with your home financing. You can change the length of your loan term, possibly lower your interest rate, and access your equity by refinancing. Let’s go over your options!
What is a cash-out refinance?
A cash-out refinance is a type of mortgage loan that allows you to access the equity in your home that you’ve accumulated over time with your monthly mortgage payments. If your future plans include a move, a large expenditure, or a resolution to use your money more wisely, think about how your home equity can help. A cash-out refinance may allow you to meet your financial goals. Whether you’re looking to consolidate your debt, add value to your home with renovations, or tuck away some savings for a rainy day, you have many options with a cash-out refinance.
What is an IRRRL?
IRRRL is an acronym that stands for “Interest Rate Reduction Refinance Loan.” This specific product is available to Military Veterans and can be used to refinance an existing VA loan to lower the interest rate.
Do I need to have my home appraised for a refinance?
Yes, you may be required to get an appraisal as part of the refinancing process. An appraisal will determine the current market value of the home, which is vital to making sure you don’t owe more on the home than it is worth, or if you have enough equity to take cash-out or get a better interest rate without also having to pay private mortgage insurance.