Take the Next
Step Today
Prefer to speak with someone? Call us at (702) 766-3744
A refinance replaces your current mortgage with a new one to lower the rate or payment, change the term, remove mortgage insurance or take cash out. It pays when the monthly savings recover the closing costs before you expect to sell or refinance again. Conventional cash-out is capped at 80% of value on a one-unit primary home, and Texas homestead cash-out is capped at 80% by the state constitution. iQRATE Mortgages (NMLS 1862492) compares more than 100 lenders for refinances in Nevada, California, Texas and Florida.
5.0 stars from 87 reviews on Experience.com (October 2026) · Read David's reviews on Experience.com
Written by David Ghazaryan, Mortgage Broker (NMLS 1486726), iQRATE Mortgages (NMLS 1862492). Licensed in Nevada, California, Texas and Florida. Updated October 2026.
Illustrative only, not a quote or offer. Say your balance is $400,000 at 7.25% on a 30-year loan, and a new 30-year rate of 6.25% is available with $8,500 in total closing costs.
If you expect to keep the loan longer than about 32 months, the refinance likely pays. If you might sell in two years, it doesn't. Restarting a 30-year term also adds interest over the life of the loan, so compare total interest, not just the payment. A shorter new term, such as 25 years, can keep your payoff date close to the original.
A lender can pay your closing costs in exchange for a higher rate. That shortens break-even to zero, but you pay more interest every month. It can make sense if you expect to refinance again when rates fall further or plan to sell soon.
Illustrative only, not a quote or offer. A home worth $600,000 with a $300,000 balance supports a new conventional loan of up to $480,000 (80%). That's up to $180,000 before closing costs. Taking all of it raises the payment, so we compare the cash-out against a HELOC or home equity loan that leaves your current rate untouched.
If your current rate is lower than today's rates, a HELOC or fixed second mortgage may cost less overall than replacing the whole first mortgage. If your current rate is higher, a cash-out refinance can lower the rate and give you cash at once.
On a conventional loan, PMI ends automatically when the balance reaches 78% of the original value, and you can request removal at 80%. Rising home values can get you there faster, but the servicer may require a new appraisal. FHA mortgage insurance on most loans with less than 10% down lasts for the life of the loan, so a conventional refinance is the usual way out.
Nevada caps yearly property tax increases on an owner-occupied home at 3%, and a refinance doesn't change your assessed value. Clark and Washoe counties don't charge real property transfer tax on a refinance with the same owner. Every county uses the $832,750 baseline conforming limit in 2026, so a larger balance needs a jumbo refinance. See Las Vegas, Henderson and Reno.
A refinance doesn't trigger a Prop 13 reassessment, so your property tax stays the same. California's high-cost counties have higher conforming limits in 2026, up to $1,249,125 in Los Angeles, Orange and the Bay Area, and $1,104,000 in San Diego, so many larger balances stay conforming. Homeowners insurance renewals are a growing issue, and lenders need proof of coverage before closing, including FAIR Plan policies. Closing costs are itemized on your Loan Estimate. See Los Angeles, San Diego and San Jose.
Texas has the strictest cash-out rules in the country. A cash-out refinance on a homestead is a Section 50(a)(6) home equity loan under the Texas Constitution:
If you already have a Texas cash-out loan and only want a lower rate, a refinance under Section 50(f)(2) can convert it to a regular rate-and-term loan if you meet its conditions, including the 80% limit. Closing costs are itemized on your Loan Estimate, and your tax escrow will be reset. See Houston, Dallas and Austin.
Florida charges documentary stamp tax on the new note and intangible tax on the new mortgage at refinance, set by state law. Your homestead exemption and Save Our Homes cap continue because the owner doesn't change. Insurance is a major issue: lenders need wind and, where required, flood coverage in place. Closing costs are itemized on your Loan Estimate. See Miami, Tampa and Orlando.
On a refinance of your primary home with a new lender, federal law gives you three business days after closing to cancel. The loan funds after that period. Investment-property refinances don't have this right.
If you bought with a bank statement loan, you can refinance with another bank statement loan or into conventional once your tax returns show enough income. DSCR loans can be refinanced on rent, but check your prepayment penalty first.
Many conventional refinances qualify for an appraisal waiver, based on Fannie Mae or Freddie Mac data about your home. If you need an appraisal, a low value can shrink a cash-out or keep PMI in place. Clean up and list recent improvements, with permits, for the appraiser.
A refinance is usually the only way to take a former spouse off a mortgage. The remaining borrower must qualify alone. A divorce decree can let you count alimony or child support as income once you've received it for a period, and some lenders treat a buyout of a spouse's equity as a rate-and-term refinance rather than cash-out, which can mean better pricing.
Most refinances lock for 30–45 days. A longer lock costs more, and an extension costs extra. If rates fall after you lock, some lenders offer a float-down for a fee.
Illustrative only, not a quote or offer. A Houston homestead is worth $450,000 with a $250,000 first mortgage at 3.5%. Under Section 50(a)(6), total debt can't exceed 80% of value, or $360,000, so the owner could take up to about $110,000 before costs.
With a low first-mortgage rate, the HELOC or a fixed second usually costs less. The cash-out wins when the existing rate is already near today's rates.
Illustrative only, not a quote or offer. A Las Vegas owner bought for $380,000 with 3.5% down on FHA. The home is now worth $460,000 and the balance is $355,000, about 77% of value. A conventional refinance at that loan-to-value needs no PMI, so the monthly FHA premium goes away. Even at the same interest rate, the payment can drop, and the break-even test still applies to the closing costs.
We work with W-2 employees, self-employed borrowers, retirees, veterans, investors and borrowers with recent credit events. Because we compare many lenders, we can often place files that a single bank declines, such as a cash-out on a rental held in an LLC or a refinance using bank statement income.
Closing costs are lender and third-party fees; cash to close also includes your down payment and prepaids such as insurance and tax escrow, minus any credits. Every fee is itemized on your Loan Estimate. See closing costs by state.
Terms for each are on its own page; see all iQRATE guarantees.
When monthly savings recover the closing costs before you sell or refinance again. Divide total costs by monthly savings to get the break-even in months.
Conventional cash-out is capped at 80% of value on a one-unit primary home. FHA is 80%. VA lenders commonly allow up to 90%.
A Texas homestead cash-out loan is limited to 80% of value, requires a 12-day notice and generally can't be repeated within 12 months.
A low-paperwork refinance of an existing FHA loan that must show a net tangible benefit, often without an appraisal.
A streamline refinance of an existing VA loan with a 0.5% funding fee, unless you're exempt.
Rate-and-term refinances can happen quickly with many lenders. Cash-out usually needs about 12 months, and FHA and VA streamlines need 210 days and six payments.
No. A refinance doesn't trigger a Prop 13 reassessment.
Yes, if you have enough equity. You can also ask your servicer to remove PMI on a conventional loan at 80% of the original value.
The lender pays your costs in exchange for a higher rate.
On a primary home refinance with a new lender, you generally have three business days to cancel.
If your current rate is lower than today's rates, a HELOC often costs less.
Yes, with a conventional or DSCR loan. Check for prepayment penalties.
Get My Custom Rate Now · or call (702) 766-3744
iQRATE Mortgages · NMLS 1862492 · 6360 S Rainbow Blvd Ste 101, Las Vegas, NV 89118 · Licensed in Nevada, California, Texas and Florida. David Ghazaryan, Mortgage Broker, NMLS 1486726. Verify us on NMLS Consumer Access. Equal Housing Opportunity. This is not a commitment to lend; programs, rates and terms vary by lender and change without notice.
More: DSCR loans · Bank statement loans · Our guarantees · Closing costs by state
