Cash Out Refinance

Shorten your loan term to pay it off quicker, or lengthen your loan term for a manageable monthly payment!

Cash Out Refinance in Louisville, KY

A cash-out refinance is a type of mortgage refinancing that enables you to convert your home equity into cash. Learn why you should cash out refinance now!

How does it work?

By using your house as collateral for the new loan, you can create a new mortgage for a bigger sum than what is already owed.

Utilizing the equity in your property as a source of quick cash might make it easy to cover your wants, needs, and emergencies!

Why Cash Out Refinance?

  1. Consolidates your higher-interest debts
  2. You can lower your interest rate
  3.  Helps you make home improvements and repairs
  4.  You can improve your credit score
  5. You can take advantage of tax deductions

Frequently Asked Questions

How can I calculate my home equity?

Simply deduct the outstanding mortgage balance from the property’s market value to determine your home’s equity. For instance, if your home is valued at $700,000 and you owe $300,000, then you have $400,000 in home equity.

How can I use the money from a cash-out refinance?
The cash from a cash-out refinance can be used anyway you see fit. Many borrowers use the money to cover large expenses like paying for education, consolidating debt, or creating an emergency fund.
What is the difference between cash out refinance and home equity loan?

Borrowers can access the equity in their homes through both a cash-out refinance and a home equity loan, but there are some significant differences. As previously said, a cash-out refinance entails acquiring a new loan for a larger sum, paying off the previous one, and receiving the difference in cash. In contrast, a home equity loan is a second mortgage that complements your first mortgage and occasionally carries a higher interest rate than a cash-out refinance.

Ready to Get a Cash Out Refinance?

Get pre-approved with LightPoint Mortgage in as little as 30 minutes.