When refinance i borrow more or less from bank if my house value increased?

Dante
I borrowed a $300, 000 house with 20% down payment and a 5/1 ARM loan. The current sale price of the similar house is $330, 000. I am wondering if I refinance the house, how many I have to borrow from bank: $240, 000 [$300, 000 (sale’s price) - $60, 000 (my downpay)] or more (330.000 - $60, 000)?Thank you very much in advance. A confused lady.

Liberty
You can reborrow exactly what you owe at a lower rate to lower your payment, (or increase your payment for a shorter repayment term) or you can borrow more that what you owe, up to what the house is worth (some let you borrow more) and get cash out to pay down other higher interest debts. It's your choice!

Kristle
When you refinance you would be borrowing how much you owe so the $240, 000. You have equity in your house since you owe $240, 000 and he ouse is valued at $330, 000. However when reffinancing at current market you most likely wont get 90-100% financing so you can up to $50, 000 cash out and your new loan would be 290, 000. Your mortgage payments might go p a little but you would have $50, 000.If you are planing to refinance in California please contact me at ttiraturyan@yahoo.com I work at a whole sale lender and currently we have a really good loan program so contact me as soon as possible to see if you qualify.

Gene
when you refinance if you are not looking for cash out you only refinance the amount left so if you owe 240, 000 you refinance 240, 000 if you have paid down the principle it will be lower. If you have an arm how close are you to the adjustment. and at what rate you may be able to get a great fixed rate and avoid the interest rate raise the fact that homes are selling means to you you may have equity and if you are paying PMI it could drop away since you have over 20% equity