Your whole mortgage changes.
The new rate applies to the refinanced balance, not just the extra cash. Compare that cost with keeping your current mortgage and using a separate home equity loan.
Your equity. A considered next move.
Cash-out refinance,
with a clear plan.
Your home equity can help fund what comes next. Understand the new mortgage, the costs, and the alternatives before you decide.
Explore my cash-out optionsStart with the existing fit check. No credit report is requested by this website.
Brandon ColomboMortgage Loan Originator · NMLS #1470812West Capital Lending, Inc.
The fundamentals
What is a cash-out refinance?
A cash-out refinance replaces your current mortgage with a new, larger mortgage. The new loan pays off the existing mortgage; remaining proceeds, after other required payoffs and costs, go toward your goal.
Home improvements or consolidating other debts may be reasons to explore it. The right comparison includes what happens to your existing mortgage balance, rate, and repayment timeline.
You cannot necessarily borrow all of your equity. Available cash depends on the property value, existing liens, loan limits, costs, and the program you qualify for.
Make the numbers work for your life
Look beyond the monthly payment.
Closing costs still count.
Fees can reduce the cash you receive. Costs financed into the new loan increase your balance and may accrue interest. Review the Loan Estimate when you apply.
A lower payment can cost more.
A longer repayment period may reduce the monthly payment while increasing interest over time. Compare the term and total cost, alongside your budget.
If you are consolidating debt
You are moving debt into a loan secured by your home, not eliminating it. Missed mortgage payments can put your home at risk of foreclosure. A sustainable repayment plan matters.
One goal. Different ways to get there.
Cash-out refinance or a second mortgage?
A HELOC or home equity loan can be an alternative when you want to retain an existing first mortgage. Compare actual terms and costs.
| What to compare | Cash-out refinance | Home equity loan | HELOC |
|---|---|---|---|
| Existing first mortgage | Replaced by a new mortgage | Generally stays in place | Generally stays in place |
| How funds are accessed | Lump sum after payoffs and costs | Lump sum | Draw as needed during the draw period, subject to terms |
| Repayment structure | A new mortgage payment and term | A separate loan payment | Payments depend on the balance, rate, and draw or repayment phase |
| A key question | Is replacing the existing loan worth the cost? | Does a separate loan better fit the goal? | Can the budget handle changing rates and payments? |
All three options use your home as collateral. Availability, rates, fees, and repayment terms vary by lender, program, and borrower qualifications.
Start with a conversation
Bring your goal.
Estimates are enough to begin.
Have an approximate home value, mortgage balance, and desired cash amount in mind. Brandon can help compare the paths before you move into a formal application.
Qualification depends on factors including credit, income, debts, property details, and program requirements. Licensing and availability must be confirmed for your property location.
Start the mortgage fit checkCommon questions
Before you tap into your equity.
Will I keep my current mortgage rate?
A cash-out refinance replaces your existing mortgage. The new loan has its own rate and terms. If retaining your current first mortgage is a priority, compare a home equity loan or HELOC.
How much cash can I receive?
There is no single amount that applies to every borrower. Property value, mortgage and lien payoffs, allowed loan amount, closing costs, and eligibility determine the available proceeds.
Will consolidating debt save me money?
It may, but a smaller monthly payment does not establish overall savings. Compare closing costs, interest on the new mortgage balance, and the time you will spend repaying the debt. Your home secures the new loan.
Is the fit check a loan application or credit pull?
No. It organizes an initial conversation and does not request a credit report. A formal application requires additional information and disclosures. Complete the existing fit check to share your goal and see scheduling options.
A practical next step