How much can I cash out when refinancing?
Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker
On a primary residence you can typically cash out up to 80% of the home's value, leaving 20% equity. VA cash-outs can sometimes go higher; investment properties are usually capped at 75%.
On a $500,000 home with a $250,000 balance, an 80% cash-out could free roughly $150,000. We'll calculate your maximum cash-out and the resulting payment.
The 80% rule
On a primary home, most lenders let you cash out up to 80% of your home's value. Subtract what you owe, and the rest is available as cash.
On a $400,000 home, 80% is $320,000. If you owe $220,000, you could pull about $100,000 in cash.
Property type matters
Investment properties allow less, usually up to 70% to 75%. VA cash-out can sometimes reach 100% for eligible veterans.
We will calculate your exact cash-out amount. Reach out and we will run the numbers on your home.