Cash Out Refinance Home Loans

Reap the rewards of increased equity with a cash out refinance. What can you do with your available equity?

Get Relief from High-Cost Debt Stress

Use the money from a refinance of your home to consolidate high-interest debt, like credit cards, student loans, personal loans, or home equity lines.1

Bring Your Dream Home Vision to Life

Get money to pay for home improvements or renovations that may even increase your home's value.

Fund Investments

Use your home equity to buy a rental property or make other investments.

Lock in a Safe, Fixed Rate

Rising rates and a shifting economy can affect you if you have an adjustable-rate mortgage. Refinance to a fixed rate and still access cash from your available equity.

Planet’s experienced loan specialists deliver exceptional service and can answer any questions you have. Call 888-966-9044 or get a free quote now!

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Frequently Asked Questions:

What is a cash out refinance?

A cash out refinance is a type of mortgage loan that lets you take advantage of the equity you've built over time, allowing you to convert it to cash in exchange for taking on a larger loan balance.

When you refinance and cash out, you borrow more money based on the current value of your home, but typically, at lower rates than those for credit cards or personal loans.

Wondering how much cash you can pull from your home or how long it takes to refinance?

To speak with a Planet Home Loan Specialist about your options, call 888-966-9044 or get a free quote now.

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What are the steps for a cash out refinance?

  • Step 1: Discuss how much cash you want.
    Tell us your goals and we'll show you ways to potentially use a refinance to reach them. Understand your monthly mortgage payment, closing costs, interest rate, loan balance, repayment period, and loan length options.
  • Step 2: Discover how much equity you've built.
    An appraisal decides your home’s value and how much equity you may be able to access.
  • Step 3: Get approved and send your required paperwork.
    Share your information securely online and track your loan’s progress. Your Loan Specialist is available to help you from the time of application to closing.
  • Step 4: Close on your loan!
    Close on your loan from the comfort of your home, one of our offices, or even a local coffee shop (if you'd rather not have company).

Planet’s Loan Specialists are available to answer all your questions.

Call 888-966-9044 or get a free quote now.

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How much equity can I borrow from my home?

For homeowners with good credit:

  • FHA, Freddie Mac, and Fannie Mae guidelines allow borrowers to cash out up to 80% of their home’s value.
  • VA home loan rules let military service members and veterans cash out up to 100% of their home’s value.

Your credit history influences how much you can borrow. If you have credit blemishes, the amount of equity you can access may be lower.

Call 888-966-9044 to talk to a Planet Loan Specialist about your specific situation.

Is getting a cash out refinance worth it?

It can be! If you’re considering how to pay for major home expenses, like upgrades or repairs, or want to consolidate debt1, or other bills, using your home’s equity may be the right solution.

If you need help deciding whether a cash-out refinance is right for you, call 888-966-9044 to talk to a Planet Loan Specialist about your specific situation.

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Are fees charged on cash out refinance loans?

There are closing costs with any refinance, but you may choose to include many closing costs in your loan amount or pay a higher interest rate and get a lender loan credit to cover them.

Plus, at Planet Home Lending, current customers may be able to access our exclusive customer pricing. Call 888-966-9044 to get details from a Planet Home Loan Professional.

Can I refinance and get cash out, even if I have imperfect credit?

There is no official minimum credit score to get a VA or FHA refinance. Instead, the rules let Planet Home Lending look at your overall credit report. That's why we can offer home loans to people across a broad credit spectrum.

What is the benefit of a cash out refinance vs a HELOC or a Home Equity Loan?

HELOCs (Home Equity Line of Credit) are typically adjustable-rate loans. That means the interest rate you pay, and your monthly payment, can rise (or fall) depending on rate fluctuations.

A fixed-rate cash out refinance will have the same principal and interest payments throughout the life of the loan. The interest rate won't rise even if the Federal Reserve increases rates.

Home equity loans usually have higher interest rates than cash out home loans, but they can be a good choice if you have a low interest rate on your first mortgage.

How is refinancing your mortgage different from getting a mortgage to buy a home?

When you refinance and cash out some of your equity, you’ll receive a lump sum check after you close on your loan. There's also a three-business-day recission period, meaning you can change your mind up to three days after you sign your loan documents. You’ll receive your check on the fourth business day after the recission period is over.

With a purchase loan, you may need to bring cash (likely in the form of a cashier’s check) to your loan closing, but your loan proceeds will be wired to the home’s seller or the mortgage company that held the note on the home.

Remember all those inspections you paid for when you bought your home — the home inspection, the radon inspection, the lead-based paint inspection, etc.? You won't have to do those again. The only inspection you might have is a termite check — and that's only if you're getting a VA home loan in an area where termites are prevalen. Other than that, the home loan process is pretty much the same.

Can I refinance and cash out some of my equity to buy an investment property?

Yes, you may be able to use a cash out refinance to buy a rental property or to pull cash from an investment home you already own. Planet Home Lending also offers investment property loans based on rental income rather than personal income. These types of loans are available for experienced real estate investors.

Want to compare a cash out refinance to an income property purchase loan? We can show you that.

Call 888-966-9044 to speak with a Planet Loan Specialist who understands the pros and cons of both options.

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Can I do a cash out refinance on an investment (rental) property I own?

Planet's Investor Advantage loans let experienced property owners cash out equity from a rental property. You qualify for the loan based on your rental income rather than your personal income.

There's no limit to the number of financed properties you can already own (although Planet can only lend money on up to six additional properties via our Investor Advantage loan program).

Can I do a cash out refinance on a second home?

Yes, if you have good credit, you may be able to borrow up to 75% of a second home's value. The higher your credit score, the more likely you are to be able to borrow the maximum amount.

Call 888-966-9044 to speak with a Planet Loan Specialist or get a free quote now!

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How are the rules different for VA, FHA and Freddie Mac/Fannie Mae cash out refinances?

When you refinance a mortgage and decide to cash out some of your equity, you must follow the rules set by the VA, FHA, conventional lenders, or a private investor. Their rules cover items such as the credit score you need to qualify, how much of your home equity you can access, and the maximum loan amount you can borrow.

There are a lot of rules, and they change often. No worries, though, we can explain how they apply in your specific situation.

Call 888-966-9044 to speak with a Planet Loan Specialist and get the latest information.

Can I do a streamline refinance and get cash out?

A streamline refinance may be available for a homeowner who wants to refinance their VA or FHA loan. Typically, you can't do a streamline refinance and access the equity in your home. If you want to pay off your loan faster by shortening your loan term, or lock in a fixed rate, or lower your interest rate, a streamline refinance might be a good choice.

What happens to my escrow money when I refinance my loan?

If you're already a Planet Home Lending customer, we can roll over your existing escrow balance to your new loan.

The money in your escrow account pays your property taxes and homeowner's insurance.

After your refinance closes and your previous home loan gets paid off, your mortgage servicer will refund the remaining money in your prior escrow account. You can either apply that money to your new home loan balance or use it to pay yourself back for the escrow amounts collected at closing for your new loan.

Planet Home Lending’s friendly loan specialists are experienced, knowledgeable professionals who deliver exceptional customer service. They are standing by to answer any questions you have. Call 888-966-9044

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1 A debt consolidation refinance increases your mortgage debt, reduces equity, and extends the term on shorter-term debt and secures such debts with your home. The relative benefits you receive from debt consolidation will vary depending on your individual circumstances. You should consider that a debt consolidation loan may increase the total number of monthly payments and the total amount paid over the term of the loan. To enjoy the benefits of a debt consolidation loan, you should not carry new credit card or high interest rate debt.