Conventional loan programs allow homeowners to change their current mortgage terms by refinancing.

Evaluate your needs for a conventional refinance. Consider a rate and term refinance to lower your current mortgage payment or to convert from an adjustable rate mortgage (ARM) to a fixed-rate mortgage loan. Selecting a 30-year fixed-rate mortgage loan when refinancing may extend your original date for paying off your home. A 15-year mortgage loan may help pay off your loan ahead of schedule. Use a mortgage calculator to set your goals. Explore benefits that a cash-out refinance may provide, such as debt consolidation or funds for a vacation.

A conventional refinance is the loan of choice for many homeowners in today’s market. The standard conventional refinance is becoming the go-to option now that home equity is returning across the nation.

The standard conventional loan limit is $453,100. A qualifying refinance applicant can open a loan for at least this amount anywhere in the state of Florida.

A cash-out refinance is a loan that gives the borrower cash at closing. The cash comes from equity in the home. For instance, if a homeowner owes $100,000 on a home that’s worth $200,000, he or she can apply for a loan amount more than what they owe. The difference is paid to the owner in cash.

Most lenders can approve a cash-out loan up to 80% loan-to-value ratio, so a homeowner who has 30% equity can take up to 10% of that equity in cash with a cash-out refinance.