Best Cash-Out Refinance Lenders of 2025

---

Cash-out refinancing main takeaways

• Rising home values have translated into large equity gains over the past few years. As of 2024, homeowners hold an average of $315,000 in equity.

• A cash-out refinance allows you to tap into your home equity by taking out a new, larger mortgage, paying off the old loan and keeping the difference.

• You can use the money from a cash-out refinance for any purpose, including making home repairs or paying off high-interest debt.

• You may have to pay a higher monthly amount if the interest rate on your cash-out refi is higher than your current rate.

Since 2016, Money’s editorial team has researched and compared various companies offering home equity lending products. Our analysis of the industry considers the scope of vendor offerings, affordability, qualification requirements, financial stability, and customer reviews. We aim to provide our readers with the most useful and accurate recommendations.

Our top picks for best cash-out refinance lenders of 2025

• Carrington Mortgage Services - Best Bad Credit Cash-Out Refinance Lender
• Freedom Mortgage - Best FHA Cash-Out Refinance Lender
• NASB - Best VA Cash-Out Refinance Lender
• PenFed Credit Union - Best Credit Union Cash-Out Refinance Lender
• PNC Bank - Best Investment Property Cash-Out Refinance Lender
• Rocket Mortgage - Best Online Cash-Out Refinance Lender

Best cash-out refinance lenders reviews

---

Why we chose it: Carrington Mortgage Services (NMLS #2600) offers three specialized refinance loans that allow borrowers with credit scores as low as 550 to qualify.

Carrington's Flexible Advantage Refinance, Flexible Advantage Plus, and Prime Advantage loans help those with lower credit scores and past negative credit activity (e.g., bankruptcy, foreclosure, etc.) obtain access to refinancing options that they may not be able to qualify for with traditional lenders.

The Flexible Advantage program allows for credit scores as low as 550 and up to $250,000 in cash-out, while the Flexible Advantage Plus program allows for credit scores as low as 620 and up to $500,000 in cash-out. The Prime Advantage program has the highest credit score requirement of 660 but allows for up to $750,000 in cash-out.

All of these programs will take borrowers with histories of bankruptcy, foreclosure, short sale and late payments (bankruptcy and foreclosure must be 36 months out to qualify for Flexible Advantage). They also don't require mortgage insurance, making them more affordable for some borrowers.

In addition to these programs, Carrington offers cash-out refinances for conventional, FHA and VA loans. Unfortunately, Carrington does not provide direct loans to North Dakota and Massachusetts residents, although customers can obtain loans from correspondent carriers in those states. The company also only offers a partially online pre-qualification and application process, meaning you must speak with a loan officer to get started.

---

Why we chose it: With a minimum credit score requirement of only 550 for its Federal Housing Administration (FHA) cash-out refinance loans and a recent title of the nation's number one FHA lender, Freedom Mortgage (NMLS #2767) is a great choice for FHA borrowers looking for a cash-out refinance.

Freedom Mortgage has a maximum LTV of 80% and a minimum credit score requirement of 550 for its FHA cash-out refinance loan. This is significantly lower than the 580 to 620 minimum required by most other mortgage lenders, meaning that more borrowers will be able to qualify with Freedom Mortgage. The company's conventional cash-out refinance loan has a maximum LTV ratio of 80% and a minimum credit score requirement of 620 and no private mortgage insurance if you retain 20% equity.

Additionally, the company offers its unique Eagle Eye alert program, which alerts borrowers to new home financing opportunities, lower mortgage rates and other special offers.

Unfortunately, Freedom Mortgage does not provide much information about the fees you may be charged for your loan or what rates are currently available. The company ranked below average in J.D. Power’s 2024 U.S. Mortgage Origination Satisfaction Study in terms of customer satisfaction (696/1000).

---

Why we chose it: With no lender fees on its VA cash-out refinances and the ability to convert up to 100% of the equity in your home into cash, NASB (NMLS # 400039) is an excellent choice for veterans looking to refinance.

Founded nearly 100 years ago, North American Savings Bank (NASB) is a reliable option for many borrowers looking to refinance their mortgage. NASB offers cash-out refinances for conventional loans, FHA loans and VA loans.

NASB stands out as one of the best VA cash-out refinance lenders, as it doesn't charge any fees for VA loans and allows veterans to access up to 100% of the equity in their homes. NASB's current rates (including its VA cash-out refinance rates) are displayed on a convenient page on its website, making it easy for potential borrowers to compare.

On the downside, the NASB website provides little information about its minimum credit score and debt-to-income ratio requirements for its refinance loans. The lender's cash-out refinance loan also requires a minimum loan amount of $175,000. (The lender makes exceptions for borrowers living in Kansas City, where the company is headquartered.)

---

Why we chose it: Credit unions can be excellent lenders. As they're non-profit organizations, they often have lower rates than other lenders. While some credit unions have limited membership requirements, PenFed's membership criteria is broad; anyone can join if they open a savings account and make a $5 deposit.

PenFed's cash-out refinance mortgages can have competitive rates, and it also offers VA streamline refinancing. Plus, the lender has strong customer reviews, with many customers praising the credit union's responsiveness and customer service.

However, the credit union doesn't have a rate quote tool, so the only way to get a personalized quote is to submit our information and speak with a loan officer.

---

Why we chose it: While plenty of banks offer cash-out refinance services, many of them restrict which types of properties will qualify. PNC Bank (NMLS #446303) does not limit its cash-out refinances to primary owner-occupied properties, making it a great option for those looking to refinance an investment property.

PNC Bank offers a variety of cash-out refinance mortgage products, including options for conventional, jumbo, VA and FHA loans. Its conventional loan cash-out refinancing is available for primary homes, secondary homes and investment properties.

Interested borrowers can easily get a custom rate quote for their cash-out refinance by entering their home value, loan amount, credit score range and ZIP code into a calculator on the lender's website.

The bank has limited branch locations and only allows up to 80% LTV for conventional and jumbo cash-out refinances. While this may not suit everyone’s needs, the LTV restriction aligns with many of its competitors.

---

Why we chose it: Rocket Mortgage (NMLS #3030) was one of the first online mortgage lenders and is considered a pioneer in the home lending industry. With a fast online application process and plenty of of online resources, Rocket Mortgage is a great choice for borrowers who want a fully digital experience.

In addition, the company also ranks sixth in J.D. Power's 2024 U.S. Mortgage Origination Satisfaction Study — giving borrowers peace of mind that they are working with a reliable lender who puts customer service first.

Rocket offers cash-out refinancing for conventional, FHA, and jumbo loans. The online pre-approval process is quick and easy to complete, helping borrowers determine how much money they can access from their home's equity early in the process. While Rocket Mortgage doesn’t have any physical branches, its loan products can be obtained through affiliated brokers if you prefer in-person service.

Furthermore, the company does not provide much information about their fees on their website, so it pays to shop around for the best deals before committing.

---

Other cash-out refinance lenders we considered

While the following lenders didn't quite make our top five list, they still may be worth considering when seeking a cash-out refinance lender.

---

SoFi

While it's mostly known for student loan refinancing, SoFi (NMLS #696891) also offers cash-out refinances for conventional loans that extend to those who are self-employed or have non-traditional sources of income. Unfortunately, the lender doesn't provide any refinancing options for government loans (e.g., FHA, VA), and it lacks some transparency when it comes to disclosing fees and cash-out refinance interest rates. Plus, it isn't licensed to issue mortgages in all states.

---

New American Funding

New American Funding (NMLS #6606) is a good option for those who have experience with the mortgage process and are comfortable navigating their way through an online session. The lender offers a wide range of refinancing options but doesn't serve all states (it doesn't issue loans in New York or Hawaii). Plus, the company doesn't disclose many of its fees until after a loan application has been submitted, which can be an issue for those who want to know all the details upfront.

---

Rate

Rate's, formerly known as Guaranteed Rate (NMLS #2611) website displays current rates for a variety of refinance loans and also features a useful mortgage cash-out refinance calculator. While this is convenient for comparison shopping, potential borrowers should know that the website's sample rates are based on a hypothetical borrower with a 760 credit score. Guaranteed Rate doesn't list any minimum credit score or debt-to-income ratio requirements, which can make it tough for potential borrowers to gauge their eligibility.

Plus, the lender has a poor rating from customers on TrustPilot, and it ranked well below the study average in the J.D. Power 2024 Mortgage Origination Satisfaction Study.

---

Cash-out refinance lenders guide

Refinancing your home can be complicated and time-consuming, full of jargon and paperwork. To help you understand the key terms and processes, we have compiled the following refinancing cash-out guide.

What is a cash-out refinance?

A cash-out mortgage refinance allows you to access a portion of your home equity as cash and use it for other purposes. Home equity refers to the difference between the amount you still owe on your mortgage and the value of your property. In other words, it's the amount of money you could potentially get if you sold your house today. You build equity over time by consistently making your monthly mortgage payments.

Cash-out refinancing for government-backed loans

If you have a mortgage through a government-backed program, such as FHA or VA loans, there are specialty cash-out refinance options:

• FHA cash-out refinance: Through the FHA cash-out refinance program, you can refinance an existing FHA loan or a conventional mortgage. This option can be a good approach if your credit score is on the lower end since the FHA program has lower-than-usual credit score minimums.

• VA cash-out refinance: A VA refinance loan allows you to refinance an existing VA loan, or you can convert a non-VA mortgage into a VA-backed one.

Although cash-out refinancing is available on FHA or VA loans, it's not possible with USDA loans.

However, you can't do a cash-out refi on a USDA loan. The funds from a cash-out refi are generally tax-free and can be used for anything, including debt consolidation, home improvement projects, college tuition, major purchases or even investing.

How does a cash-out refinance work?

When you apply for a cash-out refinance, you take out a new loan that is bigger than your existing mortgage balance, and the difference between the two loans is given to you in cash. The amount of cash you can get depends on the value of your home, your credit score, how much equity you have built up and the specific lender's maximum loan-to-value (LTV) ratio.

In general, you'll need a higher credit score for cash-out refinancing than other loan types. While you can qualify for cash-out refinancing with government-backed loans with a lower score, conventional loan refinancing will usually require a credit score of 640 or higher.

Many lenders have a maximum LTV ratio between 80% and 90%. For example, if your home is valued at $500,000, you still owe $100,000 on your mortgage and the lender's maximum LTV ratio is 80%, you could take out a new mortgage of up to $300,000 (($500,000 X 80%) - $100,000).

Cash-out refis are typically offered as fixed-rate mortgages, although you may find a lender offering an adjustable-rate mortgage as well.

How to find the best cash-out refinance lender

Finding the right lender for a cash-out refinance can be challenging, so it's important to do your research and shop around to find the best rates and terms. Be sure to consider different lenders, including traditional banks, credit unions and online lenders. The following section outlines some of the main steps you take when conducting your search.

---

1. Research and compare multiple lenders

The best way to find the right lender for your cash-out refinance is to compare multiple lenders side by side. Look at factors such as the types of loans available, fees and closing costs. You should also compare customer reviews and ratings to see what past customers say about each lender.

---

2. Evaluate loan interest rates and repayment terms

When considering any loan, you should pay special attention to the interest rate and repayment terms. A higher interest rate means that you will end up paying more in total over the life of the loan, so it's important to compare lenders and find one with a competitive rate.

The repayment term refers to how long it takes to pay off the loan. In some cases, it might be helpful to extend the repayment term to lower your monthly mortgage payments while in other cases, it's better to keep the repayment term as short as possible. Make sure to evaluate the tradeoff between the interest rate and repayment term before committing to a loan.

---

3. Ask for recommendations

If you're having trouble finding a lender, it's also a good idea to ask for recommendations from friends and family who have recently gone through the mortgage refinancing process. Ask them about their experience and whether they would recommend the lender they used. This can be an invaluable source of information and help you narrow down your list of potential lenders quickly.

---

4. Consider your specific needs and financial goals when looking for a cash-out refinance lender

Everyone's financial goals and needs are different. You might be a veteran looking for a VA loan or a real estate investor looking to tap into an investment property's equity. Different lenders specialize in different types of mortgages and sometimes offer unique loan terms that can't be matched by other lenders. This is why it's important to take the time to consider your personal finances and specific needs before deciding on a cash-out refinance lender.

---

5. Read and understand the fine print

Before signing any loan documents, be sure to read and understand the terms and conditions of the loan agreement. Make sure you're aware of all the closing costs associated with the loan as well as any additional fees that might be included. By conducting your due diligence in advance you'll be able to make an informed decision about taking out a loan and avoid any unwelcome surprises down the road.

---

6. Consult with a mortgage professional

Lastly, it's always a good idea to consult with a mortgage professional before making any loan decisions. The best mortgage refinance lenders can provide you with valuable insight and advice on the different loan options available and help ensure you make an informed decision about taking out a loan. They may even be able to help you secure a better loan rate or lower closing costs than what's available from other lenders.

---

HELOC vs cash-out refinance vs home equity loan

While pursuing a refinance with cash out is one of the most popular ways to access your home equity, there are other options available that may be a better fit for you. Two of these alternatives are home equity lines of credit (HELOC) and traditional home equity loans.

A HELOC is a line of credit that also uses your home as collateral. The difference is that a HELOC functions much like a credit card. You can withdraw any amount from the line of credit and repay it on a regular basis during what’s called the draw period. You’ll only pay interest on the amount withdrawn. However, once the draw period ends, you’ll start paying interest and principal on any outstanding balances.

A home equity loan works like a traditional mortgage loan in that you're given one lump sum and then have to pay back the amount borrowed plus interest over a fixed period of time. The difference between this and a personal loan is that your home is used as collateral to secure the loan. This typically results in lower interest rates and more favorable terms than you would find with a personal loan.

Both HELOCs and home equity loans are second mortgages on top of your existing mortgage, which means you’ll be making an additional monthly payment on top of the existing mortgage payments. Cash-out refinance loans replace your current mortgage with a larger loan. Due to this, cash-out refinances are usually easier to qualify for than home equity loans and HELOCs as the lender will have first priority in the event of a foreclosure.

No matter which option you choose, it's important to remember that taking out any sort of loan against your home puts you at risk of losing your property if you can't make payments. Make sure to carefully research your options and consult a qualified professional before making any decisions.

How we chose the best cash-out refinance lenders

To evaluate the top cash-out refinance companies, we looked at several factors ranging from customer reviews and loan terms to fees and qualification requirements. The following are the most important criteria we used in our methodology:

• Fees: We looked at what fees cash-out refinance lenders charge, such as origination and closing costs.

• Qualifications: We considered various cash-out refinance eligibility requirements (e.g., credit score, debt-to-income ratio, LTV).

• Loan terms: We examined the loan terms offered by each cash-out refinance lender, including the interest rates and repayment terms.

• Customer reviews: We looked at what customers had to say about their experience with each cash-out refinance lender.

• Customer support: We evaluated the range of customer support options available from each lender.

• Types of loans: We looked at the types of loans offered by each cash-out refinance lender, such as FHA, VA and conventional loans.

• Accessibility: We considered the availability of each lender's refinance options in different states and how many physical branches they have.

• User experience: We looked at the user experience of each lender's website or mobile app.

Summary of Money’s best cash-out refinance lenders of 2025

• NASB - Best VA Cash-Out Refinance Lender
• Freedom Mortgage - Best FHA Cash-Out Refinance Lender
• PNC Bank - Best Investment Property Cash-Out Refinance Lender
• Carrington Mortgage Services - Best Bad Credit Cash-Out Refinance Lender
• Rocket Mortgage - Best Online Cash-Out Refinance Lender