FROM OUR BLOG
July 13, 2018

Cash Out Refinance FAQs

You may have heard we can now offer 85% Conventional cash-out refinances! This is in addition to the FHA product we carry, and a good alternative for highly qualified borrowers.  We’re really excited to offer this new product, especially in this amazing market. You may like to do some renovations to your home or maybe you have some debt you’d like to clear out. Want to refinance and learn more? Read this blog to get your cash out FAQs answered!

How much can you take out on refinance?

We have options for just about all loan amounts up to $1,000,000.

Can you do cash out refinance on FHA loan?

Yes! FHA loans also qualify for our 85% cash out refinance program.

Are interest rates higher for cash out refinance?

Unfortunately, yes. Cash out refinances price out a bit higher than say a rate/term refinance.

What credit score do I need to qualify?

We require a 580 credit score or higher. If you don’t have a 620, we can offer advice on how to improve your credit score!

Are there any other qualifications?

Typically we require 6 months in the home and 15% equity.

Is cash out refinance considered income?

No. This is not ‘free money’.  You are basically trading your original loan for a bigger one and taking the difference as cash to use how you choose. Whether you put it back into your house in renovations or use it to pay of other debt, you will still be paying that money back to the new loan, with interest.

Do you allow cash out refinances on investment properties?

Yes! Give us a call today to find out more details!

 

Hopefully this blog helped answered some of your frequently asked questions. If you have any questions that weren’t covered in this blog, please don’t hesitate to reach out to us! We’d love to help you take advantage of this incredible market!

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Sierra Pacific Mortgage Company, Inc.

Sierra Pacific Mortgage NMLS# 1788. Michael Shotnik NMLS: 218281, CO License: 100017466. Regulated in Colorado by the Division of Real Estate #988320. To check license status of mortgage loan originator, visit D.O.R.A. and NMLS consumer access.