Refinancing & rates

Cash-Out Refinance Rates: What Drives Your Number

Cash-out refinance rates are priced off the same market as regular mortgage rates, then adjusted for the added risk of pulling equity out.

Understanding those adjustments is the difference between a quote you accept and a quote you negotiate.

The pricing adjustments that matter

  • Loan-to-value: staying under 70% or 75% LTV usually prices better than pushing to 80%.
  • Credit score: most rate sheets improve in steps at 680, 700, 740, and 780.
  • Occupancy: a primary residence prices far better than a second home or rental.
  • Loan amount and term: 15-year terms carry lower rates than 30-year, at a higher payment.

How to get a low rate

Collect quotes from at least three lenders on the same day — rates move daily, so a stale quote is not a comparison.

Ask each lender for the rate, the points, the lender credits, and the APR together. A low rate bought with two points is not a low rate.

See your number →

Run your own figures through the calculator. No credit check, nothing saved unless you ask.

Calculate my equity

Frequently asked

Usually yes, by roughly 0.125% to 0.5%, because lenders price the added risk of a higher balance against the same property.

Only if you will hold the loan past the break-even point — the cost of the points divided by the monthly savings, usually three to six years.

Part of The Homeowner's Guide to Home Equity.

More on refinancing & rates

Cash-Out Refinance: How to Take Cash Out of Your Home

How a cash-out refinance works, how much cash you can take out of your home, what it costs, and when it beats a HELOC.

How to Compare Mortgage Refinance Rates the Right Way

A practical way to compare mortgage and refinance rates across lenders: APR, points, credit, and lock periods — so you can spot the genuinely low rate.

When Is It Worth Refinancing Your Mortgage?

The break-even math behind a home refinance: how far rates need to fall, how long you need to stay, and when to skip it entirely.