This is a complicated question, because you must make sure that the interest rate on any other loan you plan to pay off is not lower than the refinance rate. It’s best to contact a Loan Officer first, to obtain interest rate information. If you can “bundle” your loans into one obligation, the savings can sometimes be significant, making this a great reason to refinance for some people.
However, if there is not enough equity in your home, taking cash-out could cause you to pay private mortgage insurance (PMI) as well. You’ll also want to evaluate your current loan duration and make sure that refinancing will not cause you to pay more over time.
Discuss your options with a local Loan Officer today to see if a refinance is right for you.