VA Cash-Out Refinance in Colorado: Up to 100% of Value

VA cash-out: use your home equity, or move into a VA loan

Refinance for more than you owe and take cash out, or refinance a conventional or FHA loan into a VA loan to drop mortgage insurance. VA allows up to 100% of the home's value.

Who it fits

It fits veterans who want cash for repairs, debt payoff or other goals, and any eligible homeowner paying mortgage insurance on an FHA or conventional loan. Moving into a VA loan removes the monthly mortgage insurance, and VA rates are typically lower than conventional rates. Because VA allows the highest loan-to-value of any program, it can reach equity that other loans cannot.

Before you take cash out

A cash-out replaces your whole mortgage. If your current rate is low, a smaller second mortgage may cost less. We will show you both, side by side, before you decide.

Enter your current loan and the cash you need to compare a second loan with a cash-out refinance on a blended rate. Rates are your inputs, not offers.

HELOC or cash-out refinance?. Turn on JavaScript to change the numbers.

Less interest over 5 yearsOption 1

$31,711 less: $60,105 with a second mortgage against $91,816 with a cash-out refinance.

Option 1: keep your loan and add a second mortgage$1,622a month; blended rate 4.57%

Option 2: cash-out refinance$1,816a month at 6.75% on $280,000

When your current rate is well below today's, adding a second mortgage on the new money usually costs less than refinancing the whole balance. The blended rate shows it in one number.

The second mortgage is calculated as a 20-year loan for comparison. Many HELOCs start interest-only with a variable rate, so payments can change. Closing costs are not included. Rates are your inputs, not offers.

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Calculators and guides

Common questions

Can I use a VA cash-out to remove FHA mortgage insurance?

Yes. Refinancing an FHA or conventional loan into a VA loan removes monthly mortgage insurance, even if you take little or no cash out.

What counts as a net tangible benefit?

VA lists several, such as a lower rate, removing mortgage insurance, moving from an adjustable to a fixed rate, or keeping enough equity. Your new loan must provide at least one.

Type I or Type II?

A Type I cash-out is when the new loan is not larger than your payoff, usually to change loan type. Type II is when you take equity out. Type I loans must recoup their costs within 36 months.