Loan Program
Cash-Out Refinance
Tap Texas home equity for renovations, debt payoff, or investment.
Overview
A cash-out refinance pulls equity out of your home as tax-free proceeds — for renovations, debt consolidation, an investment property down payment, or a business need. In Texas, cash-out refinances follow the state's Section 50(a)(6) home equity rules and deserve careful structuring.
Who it's for
- Homeowners with meaningful equity
- Owners consolidating high-rate debt
- Investors extracting equity for the next acquisition
- Homeowners funding renovation or education
Benefits
- Access equity at mortgage rates instead of credit-card or HELOC rates
- Fixed-rate term structure
- 80% LTV cap in Texas — safer equity cushion
- Interest may be deductible when used for home improvement (consult your tax pro)
Common Questions
What's the Texas 80% cap?
Texas home equity law limits combined LTV to 80% on owner-occupied cash-out refinances — a consumer protection unique to Texas.
What is the 12-day waiting period?
Texas requires a 12-day cooling-off period between application and closing on 50(a)(6) home equity loans.
'Once a home equity, always a home equity' — what does that mean?
Once you refinance as a Texas home equity loan, future refinances of that same property are also treated as home equity — a key consideration before your first cash-out.