Lonestar Financing

Texas Cash Out

Refinance Loans

Texas Cash Out Refinance

Lone Star Financing specializes in mortgage refinance and Texas Cash Outs.  With in-house underwriting and processing we can close loans fast – in as fast as 21 days.  Cash out refinancing is a great way to consolidate debt from high interest credit cards or free up money for discretionary purchases. A cash out refinance will enable you to free up equity for other expenditures.  It’s up to you on you spend the money, but it’s best to use your funds on long-term needs instead of short-term expenses. You have to consider that accessing funds means you will pay back the money, with interest over the life of the new home loan.   Call today and visit with one of our refinance specialists to see if a cash out refinance is right for you. 

  • Consolidate credit card debt or personal loans
  • Pay for renovations or home improvements
  • Make a down payment on an investment property
  • Make a down payment on a 2nd home 

It’s up to you on how you spend the money, but it’s best to use your funds on long-term needs instead of short-term expenses. You have to consider that accessing funds means you will pay back the money, with interest over the life of the new home loan. 

Cash Out Refinance - Low Rates & Close Fast

Cash-Out Refinance in Texas (2022)

Texas Cash Out RefiTexas cash-out refi rules are a little different than in other states, but they’re no longer as strict as they used to be.

As long as you have decent credit and more than 20% home equity, you should be able to refinance your mortgage and pull cash out from your home. And with equity levels rising across Texas, many Texans will easily meet those requirements. Call today to visit with a refinance specialist to see if a Texas Cash Out is right for you. 

Texas Cash Out Rules to know:

  • Limited closing costs — Closing costs charged by your lender cannot exceed 2% of your loan amount. This does not apply to third-party closing costs like attorney fees, appraisal fees, and title insurance fees. 
  • 80% Max LTV (Loan to Value)— Your new loan amount cannot exceed 80 percent of your home’s value. That means you must leave 20 percent equity untouched when cashing out. For example, if the value of your home is $400,000, you could borrow up to $320,000. 
  • Second mortgages (and all liens) must be paid off — If you already home equity line of credit (HELOC) or home equity loan, your new cash-out refinance will have to pay off these loans first.
  • 6 Month waiting period — You’re eligible for a cash-out refinance in Texas only when you’ve had your existing mortgage at least six (6) months. Also, you are not eligible for a new cash out unless it’s been 12 months since your last refinance. 
  • Must wait 7 years after a foreclosure, bankruptcy or short sale- Before you can qualify for a Texas  cash-out refinance.
  • FHA, VA and USDA- loans are not permitted under Section 50(a)(6) rules
  • Texas cash-out rules only apply to your primary residence-  This means your investment or second homes are not bound to these rules

Texas Cash Out Refinance

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Lone Star Financing specializes in mortgage refinance and Texas Cash Outs.   With in-house underwriting and processing we can close loans fast – in as fast as 21 days.  A cash out refinance will enable you to free up equity for other expenditures.  It’s up to you on you spend the money, but it’s best to use your funds on long-term needs instead of short-term expenses. You have to consider that accessing funds means you will pay back the money, with interest over the life of the new home loan.   Call today and visit with one of our refinance specialists to see if a cash out refinance is right for you.

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