• Brand new loan: $240,000 ($three hundred,000 domestic well worth * .80 loan-to-value)

• Bring $100,000 and you may repay the current home loan harmony
• Found $140,000 just like the a lump-sum bucks percentage

Consequently, the new mortgage out of $240,000 do integrate the fresh new $100,000 on the original loan’s left equilibrium additionally the $140,000 you obtained while the bucks.

Loan-to-property value 50%

Can you imagine that no matter if their bank will lend you 80% of the house’s value, you simply wanted $fifty,000. Continue reading →