Tag: cash-out refinance

Refinance Now: Smart Signals That Show the Right Time to Act

Refinance
Woman working with finances on the table. Money, papers

Why Many Investors Are Moving Now, Not Later

Every investor wants to catch the bottom of the interest rate cycle. In reality, the “perfect” moment is only obvious in hindsight, and by then the best opportunities are usually gone.

Right now, U.S. mortgage rates have started to ease, and refinance applications are picking up while purchase activity remains more subdued. That combination tells a clear story: some owners are already making their move, but the broader buying crowd has not yet returned.

For investors, the right time to refinance is often when rates are heading down but before prices move sharply up. That is the window we are in today.

When rates fall further and sentiment turns, more buyers enter the market, competition intensifies, and prices begin to climb. The duplex you can buy for $300,000 today can quickly become a $400,000 property once bidding wars and aggressive offers return. At that point, even slightly lower interest rates may not compensate for the higher purchase price.

Refinancing earlier in the cycle allows you to do two things at once:

  1. Lock in a more attractive rate.
  2. Release equity while prices are still relatively reasonable.

For many America Mortgages clients, the primary goal is not just to reduce monthly payments. It is to free up capital so they can buy another investment property – or even more than one – while prices remain comparatively low. In other words, they are using today’s refinancing environment to position themselves for tomorrow’s growth.

This is particularly relevant for foreign nationals and U.S. expats who already own U.S. property but may have found traditional refinancing routes difficult. Conventional lenders often require U.S. tax returns, W-2 income and a domestic credit profile, which many overseas investors simply do not have.

That is where our dedicated refinance solution comes in.

The AM Cash-Out Refinance Loan Program

The AM Cash-Out Refinance loan program is designed specifically for foreign nationals and U.S. expats who want to unlock the equity in their U.S. properties and redeploy it into new opportunities.

Key Loan Highlights:

  • No Personal Income Required – Ideal for foreign nationals & U.S. expats
  • No U.S. Credit History Needed – Simplified approval process
  • Loan Amounts – Starting from US$100,000
  • Loan-to-Value (LTV) – Up to 80% for U.S. citizens and 75% for foreign nationals
  • Closing Time – Typically 30–45 days
  • Payment Options – Amortizing or Interest-only

For many of our clients, that means they can refinance an existing U.S. property, pull out six figures in cash, and then use that capital as the down payment on another home, condo, or duplex – at today’s prices, not tomorrow’s.

Refine the Rate, Recycle the Equity

The investors who tend to come out ahead in each cycle follow a simple pattern. They refinance when rates start to improve, not when the headlines say “lowest in years”. They release equity while valuations are still sensible. And they use that equity to expand their portfolios before the next broad-based price surge.

If you wait until everyone is talking about how “cheap” money is again, you are usually buying in a $400,000 market instead of a $300,000 one.

The right time to refinance is rarely about perfection. It is about getting ahead of the next move – securing a better rate, recycling your equity, and putting that capital to work in additional investments while you still have a pricing advantage.

Refinance now, buy more while prices are still relatively low, and let the next phase of appreciation work for you, not against you.

Ready to Refinance, Unlock Equity, and Scale Your U.S. Property Portfolio?

America Mortgages can structure a straightforward path from a single property to a multi-property portfolio through our Cash Out Refinance solutions.

Contact: [email protected]

Website: www.americamortgages.com

Speak to a U.S. Loan Expert 24 hours a day / 7 days a week: +1 845-583-0830

Need help getting started? Use their 24/7 online booking tool to schedule a free, no-obligation consultation with a licensed U.S. mortgage advisor.

FOMO – Time to Cash-Out!

Cash Out Refinancing

After two years of meteoric price appreciation, U.S. home prices seem to have hit their peak. U.S. mortgage rates have more than doubled since the beginning of 2022, and according to CNN, the average interest mortgage payment on a median-priced home is up 73% from one year ago. 

Recently the FED approved a 0.75-point interest rate hike, taking rates to their highest since 2008. These high-interest rates, combined with quantitative tightening, are pushing home prices down, a trend that Economists at Goldman Sachs and Wells Fargo expect to continue into 2023. 

Many non-residents who own a U.S. property are hesitant about financing their U.S. real estate when mortgage interest rates are so high. However, there is more to the picture than meets the eye. With housing prices expected to continue dropping, many savvy investors are taking advantage of cash-out refinance mortgages. 

The truth is, cash-out refinancing can be a good way to improve your financial situation – we think of it as an affordable way to borrow money if you own substantial equity in your home. The money from a cash-out refinancing can even be used to rebuild equity that you’re taking out if you decide to use it on value-adding home renovations.

With the money you take out of your property when you refinance, you can do whatever you want with it. You can stay on top of an unexpected medical or vehicle bill, finish paying back your college loans, or make home repairs.

While prices have dropped by 2.6% since the end of June, according to a CNBC article, they are still 10.7% higher than in September 2021. This is the canary in the coal mine, and foreign investors would be wise to take advantage of their equity while it’s still high. 

Let’s flesh this out with an example. Imagine you purchased a home in Dallas, Texas, in 2016 for $230,000. As of November 2022, that home is valued at $460,000. 

You can take advantage of that massive increase in value before it trends down by leveraging the property and extracting a substantial amount of your equity investment. The best part? You keep your U.S. property investment and its cash flow and use the extracted funds toward a new investment.

FED Chair Jerome Powell signalled that interest rates would likely reach even higher than initial targets set in September. As the value of your investment property continues to decrease, so will the potential equity you can leverage. Consider striking while the iron is hot and lock down your property value.

Don’t miss the opportunity to utilise your equity while it remains high. Let your money make you money with America Mortgages cash-out refinancing. America Mortgages has a 97% approval rate for both U.S. Citizens & Foreign Nationals. That is our sole focus and our expertise. Contact us today to speak to one of our loan officers at [email protected].

For more details, please visit us at www.americamortgages.com

U.S. Housing Boom: More Real Estate Investors Are Releasing Equity to Purchase Their Second Home!

U.S. Housing Boom

The pandemic and rising level of inflation have birthed a global housing boom. This spike prompted U.S. property investors to invest in a second home and building their real estate investment portfolios. Sophisticated U.S. real estate investors can foresee that rental prices will steadily increase along with rates. The question is; how exactly are they pulling this off? By releasing their equity for existing realestate! 

It’s safe to say that this trend began in last year’s second quarter. As per stats from Black Knight, Inc., that period saw the most significant quarterly volume in cash-out refinances in over a decade, with U.S. homeowners withdrawing $63 billion in equity from their homes. 

It’s tricky to identify the exact number of U.S. real estate owners cashing out from their current properties to purchase more. However, this pool has both experienced real estate tycoons and beginner investors hoping to become the next thriving generation of lessors. 

What Are The Chances Of Success? 

Of course, releasing equity to invest in a second home or investment may seem somewhat risky, especially for a first-timer, but this is not necessarily a doomed endeavour if you play your cards right. In fact, cash-out refinances have enabled countless non-resident and U.S. expat property investors to grow exponentially within a limited period. A majority of those who sunk that money into rentals now bring in thousands of dollars in rent. 

The thing is, interest rates have increased all across the nation. As a result, many first-time buyers cannot afford to purchase homes due to high mortgage rates, so they are forced to settle for rentals until the housing market becomes friendlier. With the soaring demand for these properties, landlords have no option but to push up rents. Therefore, you are likely to make huge profits from your rental property, which might even pave the way for you to purchase more. 

As you contemplate buying a second home or investment in the U.S. through releasing equity from your existing property, do your homework. Don’t make any purchase decision before you know exactly what you are getting yourself into by remortgaging. For example, what are the costs involved, and how do they measure against the potential proceeds from your new property or the expenses you will incur to take the best care of it? If these sound daunting, fret not, this is where America Mortgages comes in! Consult our team of expert mortgage advisors tohelp you judge if you are making the right choice. 100% of our clients are living abroad. As the global leader in this market, we know how to navigate through this process better than anyone. 

If becoming a U.S. real estate investor is on your bucket list this year and you own U.S. real estate, releasing your equity could be the fastest path to get you there. Yes, this could easily be a holiday home for you and your loved ones, or a buy-to-let and boost your monthly income. 

America Mortgages’ ONLY focus is to provide U.S. mortgage financing to foreign nationals and U.S. expats looking to buy, refinance or release equity for U.S. property. We offer the most comprehensive loan programs for international real estate investors. Ready to release equity to purchase your U.S. home?

Ready to release equity to purchase your second U.S. home? Speak to us today to find out more! [email protected]

Cash-Out Equity Release. Is now the time?

Cash-Out Equity Release - America Mortgages

There’s something about having cash on hand that feels empowering. Being able to invest in projects, equities, crypto, or a business opens up endless possibilities. It could be to pay off high-interest debt or taking the family on a dream vacation before the children get too old. We hear this daily when speaking to clients that are considering cash-out refinancing.

What is a cash-out refinance?

A cash-out refinance is a mortgage refinancing option in which an old mortgage is replaced for a new one with a larger amount than owed on the previously existing loan, helping borrowers use their home mortgage to get some additional liquidity. You get the difference between the old mortgage and the new and the money can be used however you like. The amount received depends on the equity built up in your property.

How does it work?

Cash-out refinancing depends on several factors which include the value of the property, the amount owed, and how much you can qualify to borrow. Your America Mortgages loan officer can help you determine if this type of financing makes sense from a cost basis.

The potential benefits of a cash-out refinance

  • 1. A lower interest rate on your mortgage – Let’s say you bought your home when mortgage rates were much higher. Refinancing your home can improve your financial situation if you are able to obtain a lower rate.
  • 2. Debt consolidation – The money from a cash-out refinance can be used to pay off other high-interest debts, like credit cards and college loans. This could save you thousands in interest in the long run.
  • 3. Credit score improvement – Building on the previous point, paying your credit card debts off in full using a cash-out refinance can build your credit score by reducing your credit utilization ratio.
  • 4. Tax deductions – If you’re looking to improve your home using the cash from a cash-out refinance, you could potentially qualify for mortgage interest deduction.
  • 5. A cheaper way of paying for your kid’s education – It’s every parent’s dream to be able to put their kids through college, but high-interest student loans can be extremely stressful. Using a cash-out refinance can be a good alternative if the rates are lower.
  • 6. Inheritance – Although we advise you to speak with your attorney or tax advisor, it may be possible to reduce the amount of inheritance tax when estate planning with increased leverage.
  • 7. Take advantage of an opportunity – With the current situation with Covid, there are a lot of opportunities that may not be available once the world goes back to “normal”. Having access to liquidity and being able to act immediately can be potentially life-changing.

So, should you do it?

The truth is, cash-out refinancing can be a good way to improve your financial situation – we think of it as an affordable way to borrow money if you own substantial equity in your home. The money from a cash-out refinancing can even be used to rebuild equity that you’re taking out if you decide to use it on value-adding home renovations.

Interested in cash-out refinancing? America Mortgages has a 97% approval rate for both U.S. Citizens & Foreign Nationals. That is our sole focus and our expertise.

For more details please visit us at www.americamortgages.com