Should I Cash Out Refinance In 2024?! | Refinancing Your Home

[@MattTheMortgageGuy]

📣 Connect with MTMG team NATIONWIDE! Start here: 👨‍💼 co.umortgage.com/3Uya1os 🤝Click here to CONNECT to a GREAT AGENT in your area: homeandmoney.com/matt/

[@tahirisaid2693]

HELOCs and cash-out refis should ONLY be used as leverage for investing in rental real estate. If you have sufficient equity in your primary residence and you’ve done your due diligence and the numbers work out on a great deal, a HELOC is preferable as you can pay it off when your ARV (After Rehab Value) on the new acquisition is enough to refinance the total debt. Service that debt from the rental revenue and enjoy the residual net cash flow. Then use it again on future acquisitions. This is what I’m doing.

[@georgestone0123]

1. Avoid big banks for HELOCs (especially BOA) 2. Try smaller local banks & credit unions. (I use a credit union) 3. Filter your online searches to lenders offering HELOCs that accommodate your goals. 4. HELOCs should ONLY be used for short-term rental rehab capital. The intent is to force sufficient appreciation (ARV) to refinance the total debt with a new fixed, low interest, 30 year loan. The rental income should more than pay for the new mortgage with residual monthly cash flow and tax benefits. Repeat and scale to retirement net worth. Don’t give up! It works!

[@tahirisaid2693]

The only way I was able to scale through all of this without stress was by working with a financial adviser. My adviser *ROCHELLE DUNGCA-SCHREIBER* has always had my back all through the process of property investment and investing in general. You can glance her name up on the internet and verify her yourself. she has years of financial market experience.

[@florianmadison]

Thanks so much I was able to find her page and I already leave her a message.

[@bendean4255]

I got a LOC about 10 years ago started at 125k and increased to 180k. Have bought over a million of property with it that is worth over 2 million. Came with cash quick close offers and got some really cheap deals. Paid down substantially at times. About to cash out refi and pay off LOC. Will be looking at 6.5 percent note at 300k and 2700 payment. Am making 4k in rental income monthly.

[@BeautyandtheBritt]

My mortgage is $1035, my interest rate will go up but it’ll be only about by $200 and this isn’t my forever home. I want to sell once interest rates go down. I want to take out about $40k, and I have about $100k in equity. I owe $176k and the home is worth about $268k. It was a new construction

[@stephenlacher587]

Thanks for an honest, no BS approach.

[@MattTheMortgageGuy]

That’s all i know, thanks for the support!

[@TexasMadeAprilRenee]

GREAT THAT MY HOME IS PAID-OFF..I HAVE MANY OPTIONS!💯🎯❤

[@MattTheMortgageGuy]

Congrats! That’s awesome!

[@AntonioM-v6n]

Great video. Im a former UW, but retired via va disability... pennymac offerd me 105k.. I hung up the phone. New int. Rate 5.75 from a 4.85.. I owe 143k, new mortg balance would be 261k. But my payment goes from 1107 to 1798, mind you I have an upcoming escrow analysis at end of feb 2025. New pmt increases by $691 before the upcoming escrow analysis. And I plan to sel the home in 2026. Plan is to aggressively pay down debt... and loan officers did exactly as you said. They breaking out calculators to try to even justify the payment increase. Cahse even if I paid off CC DEBT and car loan. That still leaves me with 75k, put 15k into the home now im left with 60k. I taught about investing the whole 100k into $jnk .. last yr, but heistated. The move would've yielded over 7k in dividends last yr, and total appreciation of 17% if dividends reinvested

[@MattTheMortgageGuy]

No need to refi if you are selling in 18months

[@sethkhoury388]

Thanks bud this was truly helpful!

[@MattTheMortgageGuy]

Glad it helped!

[@gerardojimenez232]

Thank you for the information.

[@MattTheMortgageGuy]

Thanks for watching!

[@semperfi-1918]

My reason is to get my high interest credit cards and bad debt paid off. From there build my cash flow and kill my last big loan and get even more cash flow. Once there save a little more and invest into rentals and more cash flow.

[@MattTheMortgageGuy]

I like it!

[@bfreeinjesus2323]

Thanks for this Common Sense Approach! Nice Job!

[@MattTheMortgageGuy]

Glad it was helpful!

[@tawanad2003]

Thank you, I think you just saved my life!!!

[@ramseydieter]

Thank you for this information. I’m in Philadelphia Pa let me know if you or someone on your team could help me with a refi, thanks

[@MattTheMortgageGuy]

We're headquarted in PA and I have multiple people on my team there to assist. Start at greatmortgagebroker.com/ or shoot me an email to [e-mail]

[@joselgongora8019]

Thank you Matt, I guess cash out refis on Non QM stay the same?

[@MattTheMortgageGuy]

Yeah, still the same - on non QM stuff I’m generally seeing people use those to cash out of hard money or leverage paid off properties in scenarios where they don’t qualify conventional

[@stics412]

I have fha with partial claim. I want to cash out refinance to conventional to get rid of fha mi and pay the partial claim. Will this work

[@MattTheMortgageGuy]

Sure. Just depend on current rate, ltv, credit score, etc. just need someone who will give you honest advice on whether it makes financial sense or not. Feel free to email me at [e-mail]

[@carlosvillalta9974]

I owe 120k, appraisal came in at 365k. Should I refi for an adu in the back? Thank you 🙏

[@WebJ-ts3rm]

I have a 3 family unit and looking to purchase another one. my current rate is 3.75.

[@MattTheMortgageGuy]

Nice!

[@earthlegacy7151]

Does it make sense to do a cash-out refi if the cash is being used to purchase a home? In the process of assuming the seller's current loan at 2.5 percent, but must come to closing with cash for the difference in assumed loan and purchase price. LO advised doing the refi for the cash as well as the balance on our current mortgage. We will not be selling our current home, but renting it out. Thank you.

[@MattTheMortgageGuy]

Bunch of variables to consider

[@johnathantwinz810]

What if it's to pay off credit card and other debt and get cash out to get 4 plex for rental property

[@Brandon-lg4fh]

Cash out refi on a property that is completely paid off. Have a rental house in the Austin area paid off, worth $750-800k. Was looking at options of doing a cash out refi to purchase another rental property(duplex).

[@MattTheMortgageGuy]

Happy to help run some numbers and discuss options. Start at greatmortgagebroker.com/ OR shoot me an email to [e-mail]

[@keyiarainey]

I inherited a home that is completely paid off. However, it needs some much needed improvements. I plan to live in it for at least 1-3 years until I finish school. I plan to rent it out thereafter. Will a cash out refinance be a good decision?

[@franciscodiaz3634]

How long do we wait for rates to be decreased? HELOCs rates are over 9% variable. My current interest rate is 3.50%, I owe $58k, I need $60k. If I were to do Cash out refi at 6 to 6.5% int rate, wouldn't that be better than a HELOC at 9.7-10%? If anything, I'd do a 15 years mortgage for ~$118k fixed. Is that a crazy idea? Or do the HELOC at that high Int t rate? I have no credit card debt, just a$4k student loan which I cosigned.

[@MattTheMortgageGuy]

In your case sounds like a cash out refi makes more sense. What state are you in?

[@franciscodiaz3634]

@@MattTheMortgageGuy I'm in NY. I've been researching various banks for a HELOC and they're telling me the int rates are above 9.5% it's insane. Now, it would be that rate for $60k, if HELOC, as opposed to a 6.2-6.5% for $118k for Cash out refi.

[@MattTheMortgageGuy]

@@franciscodiaz3634 - my buddy Ben Lavender is great broker in NY. It’s one it only two states not currently licensed in (as of June 2023)- shoot him an email and tell ‘em I sent ya. [e-mail]

[@Josh-ii1eq]

What if your property is paid off and just want to pull 100k out to buy another property while renting out the 1st property

[@Josh-ii1eq]

The property will rent around $2300/month if that helps

[@MattTheMortgageGuy]

THIS would be a scenario where it might make sense to do cash out refinance.

[@submissionoutdoors570]

I have a 30k heloc and 20k in credit card debt. I have a 4.25 % rate and owe 161k on the mortgage. My home is valued at 440k. Is refinancing a bad idea for me?

[@murdered350]

Start velocity banking

[@nikkigiovanni4523]

I owe 98k in credit cards, and 61k on my home. It’s worth 210k current 4.75 percent interest rate on house Would it be good for me to do

[@MattTheMortgageGuy]

Definitely seems like a go in your scenario, I’d imagine that $98k in credit card debt is at 20%,

[@stanmoney8470]

Do they home owner has to tell you why they want the cash out refy?

[@MattTheMortgageGuy]

Not necessarily

[@keishamarieposhmom601]

I messed up already and did it. Iam sick how can I pay it off fast !

[@MattTheMortgageGuy]

Check out my video on paying off mortgage

[@TygaMediaImages]

i have a inherited home paid off and want to cash refinance to purchase a home

[@MattTheMortgageGuy]

Let me know how I can help. Http://greatmortgagebroker.com

[@malonejones5656]

Hello my current rate is around 3.75 purchased home in 2015 for 650 and now worth 1.05M I owe 400k. But I’m drowning in debt high interest rate around 50k. My monthly is 3200.I’m thinking about pulling 100k. Wondering if he’ll or cash out would fit for me, any guidance helps. Thanks

[@kamilasellsnow5373]

Hello! I have a home that worth $364.000 I own $79, 658 USDA my interest rate is 3.75 . Now the mortgage broker gave me 5.375 APR 6.29 paying $18000 credit card and $40000 cash out to change some carpets and paints, even though I am struggling I don't thing I should do it. please give me your advice.

[@MattTheMortgageGuy]

Happy to review for you, shoot me a copy of loan estimate to [e-mail]

[@virginiahenry8688]

Us it good to refi

[@MattTheMortgageGuy]

based on your needs we can look at refinance and HELOC. Many using heloc now instead of cash out. greatmortgagebroker.com/

[@chadherfel1500]

Matt, I owe $0. on my home. I am considering borrowing up to $250,000. against it to enter a killer business opportunity. Please share your advice? I think the house is worth $375,000. I have excellent credit.

[@howelljordan3469]

Uhm doesn't sound like you should be looking outside for any answers brother. You seem to be strategizing your next move very well. GOOOOOO!

[@kingbran923]

I was thinking about doing one to pay off some debt and perform some home upgrades. Obviously I don't want to take all the equity out, just enough to do what I want to do with it. Sure it'll make my loan interest rate higher but I only plan on keeping the home for three more years so in that time I can build more equity and by freeing up my income now, I'll be able to invest more and pay down the mortgage faster.

[@MattTheMortgageGuy]

everyones scenario is different. It sounds like it just may make sense for you. Happy to discuss in detail. Start with my team at : greatmortgagebroker.com/

[@alhawk2765]

I have a mortgage with $180k of equity and have to give my spouse $85k with our separation. My current rate is 2.25% I'm trying to figure out a way to pay her and really didn't want to do a cash out refi to change my rate to 6.75%. What do you think?

[@MattTheMortgageGuy]

What about a HELOC to pay her the equity due? Depending on how big your 1st mortgage is you likely want to avoid having to refinance that 1st

[@fluent_In_finance]

12 months...Sounds like a Biden deal. I'd pay to know who can actually give me a cash out refi like yesterday.

[@franciscodiaz3634]

Purpose of My HELOC or cash out Is to pay up an investment property I'm buying in Cap Cana, Dominican Republic. $60 is what I'd owe when I receive it finished.