Refinance with cash out, or home equity...

[Rob K]

...line of credit? Which is the smarter move

[prodigychild_21]

I wouldnt trust home equity line of credit, would you tap into it? Its like having a 2nd mortgage. I would rather refinance if it is legit.

[dd564]

This will largely depend on your approach versus eliminating debt.Refi with cash out means you will pay for it for 30 years or for the length however it may not be noticiable.A HELOC will be like having a credit card balance that you can pay off as quickly as you want.I myself wouldn't choose either since both take out equity of your home and could increase the chance you end up backwards on your home. This would guarrantee foreclosure should you hit hard financial times.If you plan on paying the debt quickly HELOC is the right answer in my opinion.Good luck!!!

[edleforce]

Could depend on how long u plan on staying in hs or how much equity u have. Also if u want to go thu hoops again to refinance. may want to compare rates too. if u refinance u start the 30 yrs all over again. its ok if u don't plan on staying there forever. line of credit is good. if u repay the balance u haven't added anymore yrs to loan. only drawbk is u have to pay yrly membership fee whether use or not. that's ok cheap price to pay for be able to access your $. Also u can only get a line for the amt u qualify for usually. if u r close to the requirements for 1st loan then will not be able to get that big a line of credit. why do u need the $ to buy something or want some of equity? don't forget for every 12 dollars u pay u only get to save about 8.00 in the writeoff. best not to have a mortgage in my opionion. pay cash for everything. pay extra into the mortgage so will pay off sooner. feels great not paying mortgage every month.