July 24th, 2017 8:54 PM by Shawn Smith NMLS#863501
Dallas Homeowner Equity
For Dallas homeowners, the equity in your house is a financial asset. As you’ve paid down your home loan over the years, you’ve increased the actual amount of your home you own. (you own it all, but the house is collateral used to secure your home loan.) The lender has a lien on your property until you pay it off. As you pay down your loan, your equity (ownership) of your home increases. This is of course if you have an amortizing loan with payments going toward your principal and interest.
Using Home Equity In Dallas
As an example, your home in the Dallas area is worth $500,000. Your existing lien on your home is now $300,000. You have an equity of $200,000 in the house. You’ve decided that your current monthly bills are killing you. You want to pay off credit card debt, perhaps a school loan or a combination of bills, which are all carrying a very high APR. Or you need the capital for another reason.
After looking at your situation you decide $100,000 is the amount you need to pay off other bills. You then apply for a cash-out refi of $400,000 refinancing the original $300,000 loan while taking an additional $100,000 out. Your home equity is now $100,000.Cash-out Refinance Rates
Not only are we helping our clients in the Dallas and surrounding cities pay off debt with a cash-out refinance, we are also finding out that some of them have an older mortgage with a higher rate! While we are getting them the cash they need we are also able to sometimes get them a lower rate than what they were originally paying.
Sublime Financial helps Dallas area homebuyers get the best mortgage rate possible every week. We are also active and helping other homeowners all over Texas from Tyler to El Paso. If you have any questions on refinancing your home please contact us now. All consultations are free and our customer feedback speaks for itself.
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