Need some extra cash? If you have built up enough equity in your home, you can tap into it by getting a cash-out refinance.
What is a Cash-Out Refinance?
When you get a cash-out refinance, you trade in your existing mortgage for a larger one. The difference between them is then disbursed to you as cash.
Benefits of a Cash-Out Refinance in North Carolina
- Get the cash you need and use it however you want. You could pay off high-interest debts, or you could make upgrades or repairs to your home, or you could do something else with it entirely.
- While you are refinancing, you can also take advantage of the chance to reduce your interest rate.
- You will likely spend significantly less on this type of loan than you would on a personal loan or line of credit. The interest is much more reasonable.
- If you are using a cash-out refinance for debt consolidation, you might be able to decrease your credit utilization in some situations. That in turn can give your credit score an increase.
Is a Cash-Out Refinance Right for You?
While a cash-out refinance is an excellent option in many scenarios, it may not be ideal for all situations. Here are some signs that a cash-out refi may be in order:
- When you want to make renovations or repairs to your home. By doing so, you should end up increasing the value of your property. That can help to offset the costs to refinance.
- When you need a loan for other purposes, but want to avoid a high interest rate. In many cases, a cash-out refinance can save you money.
- When you have high-interest debt to consolidate.
- When you will be able to maintain or lower your interest rate on your mortgage by refinancing, rather than your interest rate going up.
- When you can afford to pay the closing costs.
- When the higher amount you will be paying on your mortgage each month will fit within your finances.
During your consultation, we can discuss your situation and goals, and help you figure out if a cash-out refinance is right for you.
With our fiduciary approach, we always place your interests ahead of our own when recommending cash-out refinances.
Along with this type of loan, we can also go over other options for you to ensure that we find the ideal fit for your needs.
Get the Funds You Need Through a Cash-Out Refinance Now
With a cash-out refinance, you may be able to get the flexible funds you need while potentially reducing your interest rate.
Please give the Martini Mortgage Group a call at (919) 238-4934 to schedule your consultation. We are based in Raleigh and help homeowners throughout North Carolina as well as the states of Florida, Georgia, Illinois, Tennessee, South Carolina, and Virginia.