Comments on: Cash out laws on refinancing in Texas

By: navarro

navarro — Fri, 26 Jun 2009 18:22:41 +0000

I need some help. I live in Texas; I refinanced my home on Nov. 2006 and pulled cash out. The mortgage company advised me that I wouldn’t be able to refinance for 12 months. In 2008, i tried to refinance with the same mortgage company but was told I had an A6 loan and in Texas could not refinance until loan was fully paid. I think that kills the point to refinance. can anyone shed some light and point me in a direction to go becasue this mortgae company is just not working with me.

By: sri2k6here

sri2k6here — Thu, 07 May 2009 11:10:09 +0000

As with any state, Texas has its own rules for refinancing, according to it, does not allow to refinance more than 80% of the home equity, it means if your mortgage is more than the 80% home equity it does not allow you to refinance. For example if your home worth of $100000 then according to Texas rule you can refinance up to $80000, and if you have mortgage of more than $80,000 then you are not eligible to refinance your mortgage. One must always aware of the state rule related to cash out refinancing before you opt for refinancing your mortgage.

By: srilaxmi

srilaxmi — Wed, 06 May 2009 01:56:48 +0000

The information is very helpful, by knowing the rules of the state in which we are going to refinance is of most important. One must make decision of refinancing based on how many years you are going to stay in you home. Refinancing can be done for two things, one for modification of rate and term, in this you don’t pull out any money out of refinancing and other is cash out refinancing where you can pull cash out of refinancing. But in Texas you must decide refinancing based on the rules because Texas does not allow you refinance more than 80% of your home equity. One must know their home equity before taking decision of refinancing.