Would refinancing our home to a lower rate enable us to get cash out?

Written By: admin on November 17, 2009 No Comment

We just bought our first home back in March of 2009 at a 30yr fixed 5% interest rate. It is an FHA insured loan and we are eligible for a "streamline" if the interest rates drop below our 5%. If the rates do drop below 5% over the next couple of months, would we be able to get cash with the new refinance? We would go with another 30yr fixed below 5%. We bought our home for 0k in March 2009 and our payments are ,400+ a month with everything included in that payment.

The reason I question is because we really need to get ,000 asap. What about equity line of credit? Is it possible that our home is worth a small bit more than what we paid back in March 2009? We did a lot of cosmetic modifications to it. But I know equity loans are much higher than our current 5% interest rate.

I am new to all of this. Thanks.