Paying Off Student Loan Debt

Did You know that we allow for the paying off of student loan debt and not hit the Borrower for the cash-out loan-level price adjustment to the rate??? It’s true!!

There usually is an adjustment to the interest rate when someone is looking to refinance cash-out, making the rate higher because of the cash-out.

• At LEAST one student loan MUST be paid off with the proceeds to qualify for the program.
• At least ONE Borrower must be obligated on the student loan being paid off.
• Partial paying off of the student loan IS NOT allowed.
• Proceeds MUST be paid directly to the student loan company at closing.
• Sub-ordinate liens used to purchase the property may be included in the cash out.
• Delinquent property taxes LESS then 60 days delinquent may be included in the cash out.
• Cash back to the Borrower MAY NOT exceed 2% or $2,000.00

There are many reasons why cashing out refinancing and tapping not the equity of your home a good idea. Please contact one of our mortgage originators for a free no-obligation consultation why taking cash from your property may be a great idea.