Conventional Cash Out Calculator
Use this calculator to see how much debt you can consolidate with a cash-out refinance while staying under 80% LTV. Add your debts, check which ones to pay off, and watch your numbers update in real-time.
| Current Home Value ($) |
Please enter a valid home value
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| Current Loan Balance ($) |
Please enter a valid loan balance
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| New Interest Rate (%) |
Please enter a valid interest rate
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| Loan Term (years) |
| Annual Real Estate Taxes ($) |
Please enter valid annual taxes
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| Annual Homeowners Insurance ($) |
Please enter valid annual insurance
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| Closing Costs Type | |
| Closing Costs and Escrow |
Calculated closing costs will appear here
Please enter valid closing costs
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| Gross Monthly Income ($) |
Please enter valid monthly income
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Debt Name
Payment ($)
Balance ($)
Payoff
Total Monthly Debt: $0.00
Total Payoff Amount: $0.00
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| LTV Ratio | 0% Good |
| DTI Ratio | 0% Good |
| Monthly P&I Payment | $0 |
| Full Monthly Payment (P&I + Taxes + Insurance) | $0 |
Loan Breakdown
Current Loan Balance:$0
Total Payoff Amount:$0
Closing Costs:$0
Escrow/Prepaids:$0
Total New Loan Amount: $0
(10 months property taxes + 14 months homeowners insurance)
DTI Breakdown
Monthly Income:$0
Monthly Debt (excluding new mortgage):$0
New Mortgage Payment:$0
Total Monthly Debt:$0
What is a Cash-Out Refinance?
A cash-out refinance is a mortgage refinancing option that allows homeowners to replace their existing mortgage with a new loan for more than they currently owe, receiving the difference in cash. This type of refinance leverages the equity built up in the home, enabling borrowers to access funds for various purposes such as home improvements, debt consolidation, education expenses, or other major financial needs.
Unlike a traditional rate-and-term refinance that simply changes the loan terms or interest rate, a cash-out refinance increases the total loan amount while providing immediate access to the home's accumulated equity. The new mortgage will have updated terms, interest rates, and a higher principal balance, with the homeowner receiving a lump sum payment at closing representing the cash difference between the old and new loan amounts.
Cash-Out Refinance Maximum LTV Ratios
Based on conventional lending guidelines, here is the maximum leverage you can achieve when doing a cash-out refinance:
| Property Type | Number of Units | Maximum LTV |
|---|---|---|
| Primary Residence | 1 Unit | 80% |
| Primary Residence | 2-4 Units | 75% |
| Second Home | 1 Unit | 75% |
| Investment Property | 1 Unit | 75% |
| Investment Property | 2-4 Units | 70% |
| Manufactured Housing | 1 Unit | 65% |
Important Notes:
- These ratios apply to both Fixed-Rate Mortgages (FRM) and Adjustable-Rate Mortgages (ARM)
- The percentages shown are the maximum loan-to-value ratios allowed
- Additional credit score, reserve, and debt-to-income requirements may apply depending on the specific loan scenario
- High-balance loans must be underwritten through Desktop Underwriter (DU)
- Cash-out refinances are subject to property appraisal and lender approval
This table provides the maximum leverage you can achieve when doing a cash-out refinance across different property types and occupancy scenarios under current conventional lending guidelines.
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