Home Financing Library
Get Your Hands on Some Cash
Another way to make a refinance work is for you is to refinance for more than the balance remaining on your old mortgage. In a low rate environment, you may be able to tap into your equity without increasing your monthly payment.
The best use for the extra cash is to pay off any higher rate loans you may have such as a car loan or credit cards, for example. This would improve your monthly cash flow. Alternatively, a cash out refinance could be used for home improvement projects.