Cash-Out Refinance
Also called: cash out refi, equity release, remortgage
A cash-out refinance replaces your mortgage with a larger one and hands you the difference in cash, tax-free because it's borrowed money rather than income. It's how equity is extracted without selling, and the engine of the BRRRR strategy. The cost is resetting your loan: a new rate on the entire balance, fresh closing costs, and a higher payment secured against your home.