If you need extra funds for home repairs or other expenses, one of the most flexible options is to apply for a cash-out refinance.
What is a Cash-Out Refinance?
A cash-out refinance is when you refinance your existing home loan for one that is larger.
The extra money you borrow with the refinance is then available to you to use as cash for your expenses.
Benefits of a Cash-Out Refinance in CA
- Borrow money and refinance your home loan simultaneously. You may qualify for a lower interest rate on your mortgage or other benefits.
- The interest rates for cash-out refinance loans are lower than those for credit cards and personal loans. You also can typically borrower to a higher limit.
- You can consolidate high-interest debts using a cash-out refinance, reducing their cost and also potentially improving your credit score (through lower credit utilization).
- When you receive your cash from this type of refinance, you have freedom to use it as you please.
Is a Cash-Out Refinance Right For Your Needs?
Following are indications that a cash-out refinance might be a fit for your situation:
- You want to consolidate high-interest debts.
- You want to keep interest rates low when borrowing money.
- You want to make adjustments to your home loan.
- You can afford a larger mortgage.
- You can afford to pay your closing costs for the refinance.
While you do not need to use cash from a cash-out refinance for repairs and upgrades to your home, that does represent an ideal scenario. The reason why is because your property value may take a jump. This can make up for some of the costs associated with your projects and the refinance itself.
Apply Now for Flexible Financing with a Cash-Out Refinance
Cash-out refinancing is an excellent financial option for a broad range of scenarios. When you meet with us for your consultation, you can tell us what you are looking to accomplish with your financing and what your budget is. We can then advise you as to whether a cash-out refinance will fit your needs.
Please contact us today at (916) 669-1682 to schedule your consultation. We work with homeowners in Rancho Cordova, Gold River and throughout Sacramento, El Dorado, Placer, San Joaquin and Stanislaus Counties. We can also serve you elsewhere in California.