Here are some of the most common questions we get.
Is cash-out refinancing the same as a HELOC?
No. A cash-out refinance replaces the existing mortgage with a new loan. A HELOC is generally a separate line of credit secured by the property.
Can I cash out a rental property?
Potentially. Cash-out refinance programs may be available for qualifying investment properties. Requirements vary by loan program.
Do I have to sell my property?
No. A major reason investors consider cash-out refinancing is the ability to potentially access equity while retaining ownership.
Does cash-out refinancing make sense if I have a low existing interest rate?
It depends. Replacing a low-rate mortgage with a higher-rate loan can have a significant impact on the property’s cash flow. The overall numbers should be evaluated before proceeding.