Purpose Funding offers you many loan options determined by which fits your needs. One of the loan options that we specialize in includes Cash-Out Refinance.
What is a cash-out refinance?
With cash-out refinancing you can refinance your mortgage for more then you currently owe. Meaning, you will take the difference in cash. Cash-out refinance can also be referred to as cash-out refi.
How does it work?
An example would be if you purchased your home a few years ago and have been contributing to your mortgage each month, your increasing the value of your home. You owe less on a home that is now worth more.
Now you have the chance to lower your rate or gain some extra cash to pay for home remodeling or renovations.
In the example provided, you are able to refinance over the $80,000 you currently owe your mortgage. In order to get cash you could refinance an amount over the $80,000, the balance will be the cash you could use for remodeling your home.
Ensure you can qualify for the loan by providing proof that you can afford to keep up with the monthly payments. Proof would include documents such as income, assets and depts.
Why cash-out refinance?
Majority of clients get a cash-out refinance in order to pay for home improvements, as this also improves equity because you are adding to the home’s value. There are also some clients who utilize cash-out refinancing to pay for college tuition.
Is cash-out refinancing right for you?
Getting a cash-out refinance is beneficial in many ways. Take advantage of your equity by eliminating high interest car, credit cards and student loans. Increase your home value with renovations, use the cash to take your family on vacation, or pick up an investment property to increase your income.
Find out if you are eligible by speaking with one of our of team members today, give us a call at (844)427-3863