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Does asking a cash out, affect your closing cost or points? Does anything else change besides......

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October 21 - Howell
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Yes, Cash Out Refinances can effect your interest rate or your closing costs. 
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October 21
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If doing an FHA cash out, points/closing costs should be the same as a rate and term refinance, unlike a conventional loan as the others described.
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October 22
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Cash out refinances in most cases affect interest rates, and or closing costs or both because most homeowner's cash out beyond 60% of there homes value-  As that number goes up, so do the costs of the refinance.  I do want to be clear-  Cash out is considered when you take more money than what your closing costs are- i.e.- on a refinance, closing costs rolled into the new mortgage is not considered cash out.
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October 22
Profile picture for Greg Darlin
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Since September 2009

Cash-out refinances will do this:
1.  Raise your loan amount which will raise your payment.
2.  Raise the recordation tax on new money: jurisdictions that charge a recordation tax.
3.  Could increase your interest rate.
4.  On cash-out refinances with an LTV under 60%, it will not raise your interest rate or any broker, lender fees.

Bottom line is that you should talk to your LO and find out the associated costs and benefits of getting cash-out on a loan.
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October 21
 

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