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Cash Out Refinance Assistance

Whether you are interested in paying off high interest credit card debt, funding your child's education, or remodeling your dream kitchen, a cash out mortgage refinance may help you obtain the funds you need to accomplish your goals. American Bank offers a variety of cash-out products including FHA loans which may allow for a higher loan-to-value threshold than what is available with other conventional financing products. With a cash-out refinance, your closing costs can be rolled into the new loan amount so you will not be required to pay any money out of pocket at closing with the exception of any items listed as POC (paid outside of closing) on your HUD-1 settlement statement. An appraisal would be an example of a refinance related expense which would often be paid for outside of closing. Call today for a free rate quote and home loan consultation - 877-215-2290.

Cash Out Refinance - Paying Off Junior Liens

It was not long ago that many people took out home equity loans and lines of credit (HELOCs) as "piggy back loans" when purchasing their properties. In most cases, guidelines for second mortgages have become much more conservative. Homeowners who have a first and a second mortgage and are considering refinancing are faced with two options. First, they can attempt to subordinate the second mortgage but they will have to get the investor who holds the note on the second lien to agree to the subordination. This step can add extra time and, in some cases, additional expenses to the refinancing process. The other option is to consolidate both loans into one new mortgage. When this happens, lenders often consider the loan a cash-out refinance even if the borrower is not walking away with cash-in-hand at the closing table. Sound confusing? The mortgage professionals at American Bank are here to answer any questions you may have.