Understanding Cash-Out Refinance: Step-by-Step
Cash-out refinance is one of the techniques that homeowners use in order to gain access to home equity that they then use to meet various financial needs. Unlike any other refinance of a traditional kind, where the sole purpose is to get a lower interest rate, the cash-out refinance just so happens to enable homeowners to withdraw part of their home equity in cash at the time of refinancing of their existing mortgage. This blog explains what cash-out refinance is, its pros and cons, and the entire process.
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