3 Great Reasons for a Cash-Out Refi
With rates still low and home values rising, now is a great time to consider a Cash-Out Refinance. But it’s not for everyone. Here are 3 great reasons to take a Cash-Out Refinance.
1. Finance Essential Home Repairs & Upgrades. Keeping your home in good working condition is essential to holding its value. Energy-efficient upgrades can also be a great way to reduce costs while increasing value. Cashing out can pay for these improvements under an affordable interest rate.
2. Pay-off & consolidate high-interest debt. Student loans and especially credit cards tend to have higher interest rates (sometimes upwards of 20%!*). Historically, mortgage rates tend to be substantially lower. Cashing out and consolidating your debt into your mortgage can help lower your interest rate.
3. Investing in yourself. Warren Buffet once said, "The best investment you can make is in yourself." From earning a degree to starting a business to purchasing a second property to rent out, a cash-out refinance can be a great way to pay for ways to invest in yourself or improve your overall financial situation.
When used wisely, cashing out some of that equity can be a great way to consolidate debt, repair or upgrade your home, or improve your overall financial situation. Your taxes may also be affected, so be sure to consult a tax professional for the full details on refinancing.
Contact me and let’s discuss whether a Cash-Out Refinance is right for you.