What is the benefit of a 100% Cash-Out Refinance? You can get cash back and obtain a loan for 100% of the current appraised value.
Can I take cash out if I don’t have equity in the property? As long as you do not exceed 100% of the current appraised value.
Cash Out Refinance on? You can refinance an existing VA, FHA, or Conventional loan or any other additional debt that may exist on the property.
Do I have to occupy the property? Yes. You must occupy the residence securing the new loan.
Do I have to have an appraisal on the property? Yes, an appraisal is required.
Do I have to have an existing lien on the property? Yes. There must be an existing lien on the property in order to refinance your loan.
Can I refinance a loan that I assumed? As long as you have title to the property you can refinance an assumed loan. Check with your lender as there are some additional regulations concerning assumed loans.
Can I refinance a loan that I have a Contract for Sale which was initially called a “wrap?” Yes. Check with your lender as there are some additional regulations concerning Contract for Sale loans.
What if I have a 2nd mortgage on the same property? You can pay off any existing liens, as long as new the loan amount does not exceed 100% of the appraised value of the property.
Can I pay off other debts? Yes. As long as you do not exceed the VA requirement of 100% of the appraised value you can use your cash back to pay off other debts.
How much will this cost? Each lender’s charges are different. You need to discuss closing costs with your lender.
How long does this process usually take? Generally, you can close the loan within 30 to 45 days from the date you apply. However, your lender can give you a more accurate time frame.
How does the lender know I am a veteran? When you apply for the refinance, the lender will verify you are eligible for this benefit by obtaining your Certificate of Eligibility (CoE). For more on the CoE, see this guide.
What type of loan can I do a