Cash-Out Refinance Calculator
How much cash a cash-out refi frees at 80% LTV, the new payment, and the blended cost of tapping equity this way.
Formula
Disclaimer: Rate add-ons for cash-out, PMI above 80% LTV and escrow changes not modeled. Not financial advice.
Disclaimer: This tool is for general informational and estimation purposes only and is not professional financial, tax, accounting or legal advice. All figures are estimates — verify with a qualified professional before making decisions. Read the full disclaimer.
Need cash-out refinance calculator results fast? Skip the spreadsheet and get a clear, defensible answer in one step — free, private and instant, recalculating live as you change any input.
About Cash-Out Refinance Calculator
A cash-out refinance replaces your mortgage with a bigger one and hands you the difference: at the defaults — a $480,000 home with $250,000 owed, refinanced at the conventional 80% LTV cap — about $127,000 of equity converts to cash after costs. The price: the ENTIRE new balance, not just the cash, carries the new rate for a new term, and cash-out pricing runs ~0.25–0.75% above rate-and-term refis. The competitive set matters more than the product: a HELOC keeps your existing (possibly cheap) first mortgage untouched and charges variable interest only on what you draw — usually superior when your current rate is below market; a home-equity loan fixes a second-lien amount; cash-out wins when your existing rate is HIGH anyway (the refi improves it) or you want one fixed payment. If your current mortgage is 3-something percent, surrendering it for 6.5% to free cash is an expensive trade — price the blended alternative first. Use-of-funds discipline separates wealth-building from slow-motion trouble: renovations that add value, consolidating 24% card debt into 6.5% (with the cards then CLOSED or curfewed), or funding a business with underwriting-grade honesty all justify the structure. Vacations and depreciating toys amortized over 30 years do not — $20,000 of cash-out at the defaults costs ~$25,500 of interest by maturity. The equity-remaining figure above is your storm buffer; don't spend it to zero.
How to use Cash-Out Refinance Calculator
- 1Enter Current home value, Current mortgage balance, Max LTV on new loan (%), New loan rate (%), New term (years), Closing costs into the Cash-Out Refinance Calculator.
- 2The result is computed automatically using New loan = value × LTV% ; Cash out = new loan − old balance − closing costs — there is no button to press; it updates live as you type.
- 3Change any input to model a different scenario, then use “Copy result link” to share the exact numbers.
Why use Cash-Out Refinance Calculator?
- ✓Computes cash-out refinance calculator instantly with the correct formula — no spreadsheet needed
- ✓100% free and unlimited, with no sign-up, login or paywall
- ✓Runs entirely in your browser, so the figures you enter are never uploaded or stored
- ✓Shows the formula, a live worked example and references so you can defend the number
Frequently asked questions
How much can I actually cash out?+
Conventional loans cap at 80% LTV (the default), VA up to 90–100% with the funding fee, FHA 80%. Subtract payoff and closing costs from the LTV-capped new loan — the live figure above. Lenders may price-adjust (higher rate) as cash-out size and LTV climb, so the last $20,000 is the most expensive.
Cash-out refi or HELOC — which is cheaper?+
Depends on your CURRENT first-mortgage rate: below market → HELOC (don't disturb the cheap loan; pay variable interest only on draws). At/above market → cash-out can win by refinancing the whole stack down. Blend the math: (old balance × old rate + cash × HELOC rate) versus new balance × cash-out rate.
Is cash-out refinance money taxable?+
No — it's loan proceeds, not income. Interest DEDUCTIBILITY is the nuance: post-2017 US rules allow mortgage-interest deductions only on debt used to buy/build/substantially improve the home; the cash-out slice spent on consolidation or consumption isn't deductible. Keep renovation receipts if you itemize.
What credit and seasoning do I need?+
Typical conventional cash-out: 620+ score (better pricing 740+), 6-month ownership seasoning, full income/asset documentation and an appraisal. Self-employed borrowers face the heaviest doc load. The appraisal is pivotal — a $20,000 valuation swing moves your maximum cash by $16,000 at 80% LTV.
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