How the estimate works
VA allows a cash-out refinance up to a maximum loan-to-value based on the VA appraisal, and lenders may set a lower limit. Enter the limit your lender quotes, your estimated value, payoff and closing costs. Estimated cash = (value × LTV limit) − payoff − costs paid from proceeds.
The funding fee
Unless you are exempt (for example, if you receive VA disability compensation), a funding fee applies. If you finance it, it is part of the loan amount, which reduces the cash available within the limit. Check your Certificate of Eligibility for exemption status and the current fee chart on VA.gov.
What else VA requires
- A VA appraisal and Minimum Property Requirements.
- Occupancy of the home.
- Credit, income and residual income review.
- Net tangible benefit and seasoning rules if your current loan is VA.
Compare alternatives
If your current rate is favorable, a home equity line may cost less than replacing the whole first mortgage. Compare total cost over the time you expect to keep the loan.
Results are estimates only and are not an offer or commitment to lend.
Keep reading
This page is general education. Program rules change; confirm current requirements with the official sources linked here and with a licensed lender.