Replace your current mortgage with a larger loan and walk away with the difference in cash. Use it for debt consolidation, home improvement, an investment property, or any other goal — with no restrictions and no taxes. Up to 80% loan-to-value (90% for VA), 30–45 day close, fixed or adjustable-rate options.
See How Much Cash I Can Get
For most Florida homeowners, your house is the largest asset on your balance sheet — and the equity is sitting idle. A cash-out refinance turns that idle equity into working capital, often at the lowest interest rate available to you.
The cash you receive isn’t income — it’s your own equity, returned in liquid form. The IRS doesn’t tax it. You walk away from closing with the funds wired or available immediately, with no restrictions on how you use them.
Cash-out refinance rates run roughly 0.25–0.75% above standard refinance rates — still far below credit cards (18–24%), personal loans (10–15%), or HELOCs (8–12%). Replacing $50,000 of credit card debt with a cash-out refi often saves $700–$900/month.
Unlike a HELOC or home equity loan, which add a second monthly payment, cash-out refinance replaces your existing mortgage entirely. One loan, one payment, one rate — simpler to manage and easier to budget around long-term.
Choose the term and rate structure that fits your plan. 30-year fixed for lowest monthly payment, 15-year fixed for fastest payoff, 5/1 or 7/1 ARM for lower initial rate if you plan to refinance or sell within 5–7 years.
The math is straightforward once you see it laid out. Here’s what determines how much cash you can access and what you’ll qualify for.
Most cash-out refinances cap at 80% loan-to-value — you must keep at least 20% equity after closing. On a $600,000 home: max loan is $480,000. If you owe $200,000 today, you can pull out roughly $280,000 (before closing costs). VA cash-out goes to 90% LTV for eligible veterans. Some non-QM programs allow 85%.
620+ FICO minimum (740+ for best pricing). Debt-to-income ratio at or below 50%. Documented stable income with employment verification. Property appraisal supporting the requested loan amount. The qualification standards mirror conventional purchase loans — if you qualified to buy, you likely qualify to cash out.
Closing costs run roughly 2–5% of the new loan amount, similar to a standard refinance. Costs can be rolled into the loan or paid at closing. Florida requires a 3-day right of rescission on owner-occupied refinances — cash is wired or available on the 4th business day after closing.
Cash-out rates typically run 0.25–0.75% above standard refinance rates — the spread reflects the additional risk to the lender on a higher-balance loan. If today’s rates are below your current mortgage rate, you may end up with a lower payment despite borrowing more. We run the breakeven math upfront so you see the full picture.
Four common ways to access cash. Each works best for a different situation — here’s how they stack up on the variables that matter.
| Cash-Out Refinance | HELOC | Home Equity Loan | Personal Loan | |
|---|---|---|---|---|
| Loan Structure | Replaces existing mortgage | Second loan, line of credit | Second mortgage, fixed amount | Unsecured (no collateral) |
| Disbursement | Lump sum at closing | Draw as needed over 10 yrs | Lump sum at closing | Lump sum at funding |
| Rate Type | Fixed or ARM | Variable (usually) | Fixed | Fixed |
| Typical Rate (2026) | ~0.25–0.75% above conventional | 8–12% | 7–10% | 10–15% |
| Max LTV / Limit | 80% (90% VA) | 85% combined LTV | 85% combined LTV | Income-based, no collateral |
| Monthly Payment | One payment (replaces mortgage) | Interest-only or principal+int | Second payment | Fixed installment |
| Closing Costs | 2–5% of loan | 0–2% (often waived) | 2–5% of loan | 0–6% origination fee |
| Tax-Deductible Interest | Yes, if used for home improvements (up to $750K) | Same as cash-out | Same as cash-out | No |
| Best For | Lump-sum need, lower rate than current mortgage available | Ongoing or unpredictable expenses | Lump sum, want to keep low first mortgage | Small need, no equity available |
Not sure which option fits your situation? Send us your goal, current mortgage rate, and home value — we’ll run the numbers across all four options and recommend the lowest-cost path.
Compare My OptionsThere are no restrictions on use — but some strategies are dramatically better than others. The highest-ROI uses pay off higher-cost debt or invest in appreciating assets.
Replace 18–24% credit card debt and 10–15% personal loans with mortgage-rate financing. Consolidating $50,000 of credit card debt typically saves $700–$900 per month in interest — the most common high-ROI use.
Kitchen remodels, hurricane-impact windows, roof replacement, additions, pool installation. Interest may be tax-deductible up to $750K when funds are used on the same home. Often adds more value than it costs.
Use cash-out funds as the down payment on a Florida rental or vacation property. A $100,000 cash-out can fund 20% down on a $500,000 investment home — turning idle equity into income-producing real estate.
Cover college tuition for yourself or family without taking on parent PLUS loans (currently 8–9%) or private student loans. Cash-out refinance rates typically beat education-specific lending.
Cover medical bills, family emergencies, or unexpected expenses without depleting retirement accounts (where withdrawals before 59½ trigger penalties + taxes). Lower-cost than emergency-rate credit lines.
Start or expand a business without giving up equity to investors or paying SBA loan fees. Many self-employed Florida borrowers prefer home equity to startup financing because it preserves business ownership.
Standard Florida cash-out refinance timeline. Cash-strong borrowers with clean files often close faster — we’ve done it in 21 days.
Send us your home value, current mortgage balance, and goal. We’ll estimate max cash-out and a rate range within hours — no hard credit pull.
W-2s, pay stubs, tax returns, asset statements, current mortgage statement. We issue verified pre-approval within 24–48 hours.
Independent appraisal confirms current home value (1–2 weeks). Underwriting reviews the full file (2–3 weeks). We clear all conditions.
Sign closing docs. Florida law requires a 3-day right-of-rescission period for owner-occupied refinances.
On the 4th business day after closing, your cash is wired to your account or delivered by check. Old mortgage paid off, new mortgage begins.
Tapping equity makes sense for some goals and not others. The math depends on what you do with the cash and how today’s rates compare to your current mortgage.
The questions Florida homeowners ask most before choosing a cash-out refinance. Don’t see yours? Ask Alex directly.
Alex Doce has closed thousands of Florida cash-out refinances over 38 years — debt consolidation, home improvement, investment property, business capital. Send us your home value and current mortgage balance, and we’ll quote your maximum cash-out, rate, and breakeven point. No obligation, no hard credit pull.
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