What Is a VA Cash-Out Loan?
If you’re an eligible borrower with an existing mortgage–VA-backed or not, a VA Cash-Out Refinance Loan allows you to take cash out of your home equity. These loans are backed by the U.S. Department of Veterans Affairs, and rates are competitive.
You can use your extra money to:
Pay off high-interest debt
Consolidate credit card and car loans
Remodel or repair your home
Pay for tuition and education expenses
Build emergency fund
VA Cash-Out Loan Benefits
VA cash-out refinance loans are a great option for eligible borrowers, offering a range of advantages that set them apart from conventional loans. From lower interest rates to the elimination of private mortgage insurance (PMI), here’s how VA cash-out refinancing can help you make the most of your home’s equity.
Access to Cash: Tap into your home’s equity to pay off high-interest debt, cover major expenses, or invest in home improvements.
Lower Interest Rates: Save money over time with lower interest rates compared to conventional cash-out refinancing options.
Debt Consolidation: Pay off credit cards, personal loans, and other high-interest debt with the cash from your home equity.
No Private Mortgage Insurance (PMI): Save even more cash by forgoing PMI, which VA loans do not require, unlike conventional options.
Financial Flexibility: Put your extra cash toward what matters to you, whether that’s education or emergency costs.
Potentially Better Loan Terms: Refinance into a loan with a lower rate or switch from an adjustable-rate mortgage (ARM) to a more stable fixed-rate mortgage (FRM).
Who qualifies for a VA cash-out loan?
To qualify for a VA Cash-Out Loan, you must meet the VA’s eligibility requirements, which generally include:
Occupying the home as your primary residence
Having sufficient home equity to withdraw cash while maintaining a loan-to-value (LTV) ratio within lender guidelines
Meeting the VA’s service requirements by meeting one of the following criteria:
90 consecutive days of active-duty service during wartime
181 consecutive days of active-duty service during peacetime
90 days in the National Guard and Reserves since August 2, 1990, or 6 years in the Selected Reserve or National Guard
Surviving spouses of service members who are missing in action, prisoners of war, or have died during active-duty service or as a result of a service-related injury
Check Your VA Loan Eligibility!
HOw to Apply for a VA Cash-Out Loan
With Commander Mortgage on your side, the VA Cash-Out Refinance Loan process is simple.
Determine Your Eligibility: Contact us today to verify your VA loan eligibility.
Assess Your Home Equity: We’ll assess your home’s value and your remaining mortgage balance to determine how much cash you’ll be able to get with a refinance loan.
Submit an Application: Gather and share your important documents–that includes proof of income, credit history, and your
Certificate of Eligibility. Loan Processing & Approval: Experience a seamless underwriting process as we guide you to your approval.
Close & Cash Out: Time to tap into your home’s equity! Receive your cash and enjoy your new mortgage terms.
Partner with Commander Mortgage
If a VA Cash-Out Loan sounds like the right choice for you, don’t hesitate to start the process–and know that Commander Mortgage will help you every step of the way.
We’re committed to providing military families with personalized guidance, competitive rates, and flexible loan options tailored to meet their financial goals. Most importantly, we’re here to serve you with confidence, care, and unparalleled expertise for a stress-free process.
Contact us today to take control of your home’s equity!
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