Cash-Out Refinance
Replace the mortgage you have with a larger one, and take the difference in cash. One loan, one payment, one set of terms — and your existing mortgage is gone.
Scope. On the home you live in, available in California only. On investment property, this is business-purpose lending and it is brokered nationwide. Investor and business-purpose lending nationwide. Owner-occupied home loans in California.
At a glance
- Structure
- Replacement first mortgage
- Owner-occupied
- California only
- Investment property
- Nationwide
- Lender panel
- 20+
Scope. On the home you live in, available in California only. On investment property, this is business-purpose lending and it is brokered nationwide. Investor and business-purpose lending nationwide. Owner-occupied home loans in California.Work out the equity position
The question to settle first
Is your existing first mortgage worth protecting?
That comparison decides most files, and it is worth making before anything else.
Who this fits
You have substantial equity and want a lump sum
Your existing mortgage is not on terms worth preserving
You want one payment rather than a first plus a second
You are releasing equity from a rental to fund the next purchase
You want a fixed sum on fixed terms rather than a revolving line
Who this does not fit
Your first mortgage is on good terms. Look at HELOC or a home equity loan first.
You want flexibility rather than a lump sum. A revolving line suits staged spending; a refinance hands you everything at once and charges you for all of it from day one.
Your equity is thin. Cash-out ceilings are lower than purchase ceilings on every program, so the available proceeds are smaller than people expect.
You are refinancing an owner-occupied property outside California.
How qualification works
It depends entirely on which property this is.
On the home you live in
this is consumer lending — full income documentation, debt-to-income, credit, appraisal. The route is Full Documentation, or a Non-QM income method if your returns understate what you earn. California only.
On investment property
Your personal income need not enter it. DSCR qualifies the cash-out on the property's rent, and no-ratio and low-ratio DSCR covers properties where the rent does not fully cover the payment. Business purpose, brokered nationwide.
We are a brokered business and place the file from a panel of 20+ lenders.
LTV & Cash-Out Calculator
Work out the equity position
A note on what this tool currently does. It calculates value against a program ceiling, less existing liens.
- Property valueWhat the property is worth
- Program ceilingBeing confirmed
- Existing liensWhat you still owe
- Your equity pictureUpdates as you type
Projected combined LTV
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Fill in the property value, the existing liens and the cash-out you want. The LTV updates as you type.
- Property value
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- Existing liens
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- Requested cash-out
- —
- Equity left
- —
- Projected combined balance
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For illustrative and educational purposes only. Results produced by this calculator perform arithmetic based solely on numbers you enter and do not reflect actual loan offers, interest rate quotes, or commitments to lend. Actual loan terms, payments, interest rates, and approval depend on complete underwriting, credit review, property valuation, and lender guidelines. Loankey.io arranges loans through third-party lenders; loans are not funded directly by Loankey.io.
Frequently Asked Questions
How much can I take out?
Value against the program's cash-out ceiling, less what you currently owe. Cash-out ceilings are lower than purchase ceilings on every program, which is the single most common surprise here.
Is this better than a HELOC?
It turns on whether your existing first mortgage is worth keeping. A refinance replaces it; a HELOC sits behind it. If you locked good terms years ago, replacing them to access equity is usually the expensive way round.
Can I do this on a rental property?
Yes, and often without using your personal income at all — see DSCR Loans. Investment-property cash-out is business purpose and available nationwide.
Can I use the money for anything?
Generally yes. Renovations, a down payment on the next property, consolidating other borrowing, business capital.
Will my payment go up?
Almost always — you are borrowing more, on today's terms, across the whole balance rather than just the new money.
Is there a waiting period after I buy?
Most programs expect the property to be held for a period before cash-out, and it varies. Worth asking early if you have bought recently.
Is there a prepayment penalty?
Not on conventional owner-occupied loans. On investment-property programs there often is — DSCR carries a 2 to 5 year prepayment period. Raise it if you might sell or refinance again soon.
Do you fund these yourselves?
No. We are a brokered business and place the file with the lender whose program fits it.
What happens next
You are here
Cash-Out Refinance
Release equity by replacing the first mortgage.
If the released equity is funding the next purchase.
Request a Scenario Analysis
Send the current value, what you owe, and what the money is for. The first thing we will test is whether replacing your existing mortgage is actually the cheapest way to get it.
Nothing on this page or website constitutes an offer of credit, a rate quote, or a commitment to lend. All loans are arranged through third-party lenders and are subject to full application, credit approval, income/asset verification, property appraisal, and underwriting. Terms and availability are subject to change without notice. Loankey.io is a licensed real estate broker; loans are arranged, not made. Investor and business-purpose lending nationwide. Owner-occupied home loans in California.