What is cash-out refinancing, and when does it make sense?
Basically, the definition of cash-out refinancing is this: you refinance your mortgage for more than you currently owe, then pocket the difference. Sounds like a pretty good option, right? Well, not always. It depends on a number of factors like interest rates and the equity you have in your home.
The good news is that interest rates are historically low right now, and home values are increasing. That means that the majority of home owners (especially here in Las Vegas) have equity in their homes. They could take advantage of the cash-out refi option and lower their monthly payments, in addition to “cashing out” the difference.
If you’re interested in learn more about cash out refinancing, contact my office today at 702.331.8185.