Did you realize that in the State of Texas you can’t get cash out of your home above 80% of its appraised value?
In other words if your home was worth $100,000 – the most cash you could get out on a loan would be $80,000.
This 80% rule is a Texas law for owner occupied homeowners in Texas.
…However, there is one loan that will allow you to get more than 80% of your cash out. It’s called an Owelty loan.
You can get an Owelty loan when you are getting a divorce, and one of the conditions of your divorce is that you have to pay your ex a portion of the equity in your home (even if it exceeds 80%).
I’ve done many Owelty loans. We treat them as a regular rate and term refinance (not cash out rates – which are higher).
So, if you are in this situation, or you know someone who is – and your loan officer has told you that you don’t have enough equity to cash out the ex-spouse, just tell them that you need an Owelty loan.
…or, better yet – just give me a call and I can help you!
That’s it for today!
Have a good day today! …and thanks for reading.
Brett
One of the most important things you will have to do when you apply for…
I wanted to let you know we have a 2% to 5% downpayment and closing…
If you want to acquire rental properties, but you are having issues proving your income…
Do you need cash out of your home, but you don’t want to refinance the…
In the mortgage world there are rules we have to follow. Such as, rules about…
Do you have investment property, and would like to pull cash out of your property?…
