Banking & Finance

VA Cash-Out Refinance

Refinance your home (VA or non-VA loan) and pull out equity as cash – often at a lower rate than your current loan.

Who qualifies: Veterans, Active duty, National Guard, Veterans with a service-connected disability.

The VA Cash-Out Refinance lets eligible veterans and service members:

• Refinance any existing mortgage (VA or non-VA) into a new VA loan
• Withdraw up to 100% of home equity as cash
• Use cash for any purpose (debt consolidation, home improvements, emergency fund)
• Potentially lower interest rate than current mortgage
• Eliminate PMI if refinancing from a conventional loan

Requirements:
• Must meet VA loan eligibility (COE required)
• Must live in the home as primary residence
• Appraisal required
• VA Funding Fee: 2.15% first use, 3.3% subsequent use (waived if 10%+ disabled)

Example benefit: Replace a $300,000 conventional loan at 7.5% with a VA loan at 6.5% – saving $250+/month while pulling out $50,000 in equity.

Official information ↗

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