Cash-out refinancing is one of the most popular methods for homeowners to tap into the equity of their home and receive a lump sum of cash. Whether it’s to pay off high-interest debt, fund home renovations, or cover personal expenses, cash-out refinancing can provide homeowners with the financial flexibility they need. However, finding the best cash-out refinance mortgage lenders is key to getting favorable terms, low interest rates, and a smooth refinancing experience.
In this article, we’ll explore the best cash-out refinance mortgage lenders of 2025, their key features, and how to choose the right one for your needs.
What is a Cash-Out Refinance Mortgage?
A cash-out refinance mortgage involves replacing your existing mortgage with a new one for a higher loan amount. The difference between the new loan and your old mortgage is given to you in cash. This option is popular because it allows homeowners to access their home equity without having to sell their home or take out a home equity loan.
For example, if your home is valued at $300,000 and you owe $150,000 on your current mortgage, you could refinance for a new loan of $200,000 and receive $50,000 in cash. The terms of your new loan will depend on several factors, including your credit score, the equity in your home, and the interest rate environment.
Key Factors to Consider When Choosing a Cash-Out Refinance Lender
When looking for the best cash-out refinance mortgage lenders, it’s essential to consider the following factors:
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Interest Rates: The interest rate you are offered will play a significant role in the overall cost of your loan. Be sure to shop around and compare rates from multiple lenders.
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Loan Fees: Understand the fees involved in the refinancing process, including origination fees, appraisal fees, and closing costs.
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Customer Service: A smooth refinancing experience requires excellent customer service. Look for lenders that have good reputations for customer support.
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Loan Terms: Cash-out refinancing can offer both fixed-rate and adjustable-rate options. Consider the pros and cons of each before deciding.
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Eligibility Requirements: Different lenders have varying eligibility requirements, including minimum credit scores, income levels, and home equity thresholds.
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Turnaround Time: The refinancing process can take time. Consider lenders that can close your loan quickly if you need funds in a hurry.
Best Cash-Out Refinance Lenders of 2025
Now that you know the key factors to consider, here are the top lenders for cash-out refinancing in 2025.
1. Rocket Mortgage
Why Rocket Mortgage is the Best: Rocket Mortgage, a part of Quicken Loans, has been a leader in the digital mortgage space for years. Their fully online process allows you to refinance quickly and efficiently, and their customer service is known for being top-notch.
Key Features:
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Fast Online Process: Rocket Mortgage makes refinancing simple with an easy-to-use online application and quick approval process.
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Wide Range of Loan Options: They offer both fixed-rate and adjustable-rate mortgages, giving homeowners flexibility in terms of their loan structure.
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High Customer Satisfaction: With millions of customers served, Rocket Mortgage boasts a high satisfaction rate and has consistently received positive reviews for customer service.
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Competitive Interest Rates: Rocket Mortgage offers competitive rates for borrowers with a good credit score.
Pros:
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Seamless digital experience
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Fast approval and funding
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Excellent customer support
Cons:
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May have higher fees compared to other lenders
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Limited to borrowers with good to excellent credit scores
2. LendingTree
Why LendingTree is the Best: LendingTree is a unique online marketplace that allows you to compare mortgage offers from multiple lenders at once. By using LendingTree, you can quickly compare interest rates, terms, and fees from various cash-out refinance lenders.
Key Features:
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Compare Multiple Offers: LendingTree provides an easy platform to compare offers from a wide range of lenders.
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Wide Range of Lenders: LendingTree connects borrowers with a network of trusted lenders, including traditional banks, credit unions, and online lenders.
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Tailored Recommendations: Based on your financial profile, LendingTree helps recommend the best lenders for your specific needs.
Pros:
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Allows you to compare offers from multiple lenders
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Convenient and time-saving platform
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Free service to use
Cons:
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Some lenders may have higher fees
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You may receive multiple calls or emails from lenders
3. SoFi
Why SoFi is the Best: SoFi is a digital lender that offers competitive cash-out refinance mortgage rates along with excellent customer service. They are well-regarded for their fast online process and low fees.
Key Features:
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Competitive Rates: SoFi offers some of the lowest interest rates in the market for borrowers with excellent credit.
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No Fees: SoFi does not charge origination fees, which helps keep the cost of refinancing lower.
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Member Benefits: SoFi offers additional perks like financial planning and career coaching for members, making it a great option for those who want more than just a refinance.
Pros:
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No origination fees
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Low rates for creditworthy borrowers
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Fast and efficient online process
Cons:
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Only available to borrowers with good to excellent credit
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Limited product offerings outside of home loans
4. Chase
Why Chase is the Best: Chase is one of the largest banks in the U.S. and offers a variety of mortgage products, including cash-out refinance options. Their long-standing reputation and wide range of mortgage options make them a top choice for many homeowners.
Key Features:
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Wide Range of Loan Products: Chase offers both fixed-rate and adjustable-rate mortgages, and you can choose from a variety of term lengths.
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Customer Service: As a major bank, Chase has a strong customer service team, with physical branches available for in-person assistance.
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Flexible Loan Terms: You can choose a loan term from 15 to 30 years, depending on your financial goals.
Pros:
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Well-established bank with a wide range of loan products
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Physical branches for in-person support
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Competitive rates for borrowers with good credit
Cons:
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Higher fees compared to some online lenders
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Longer processing times for online applications
5. Better.com
Why Better.com is the Best: Better.com is an online-only lender that offers cash-out refinance loans with no origination fees. Their streamlined process makes refinancing simple and fast.
Key Features:
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No Origination Fees: Better.com does not charge origination fees, which can save you hundreds or even thousands of dollars.
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Digital-Only Experience: The entire refinancing process is handled online, making it a great choice for tech-savvy homeowners.
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Transparent Pricing: Better.com provides clear, upfront pricing, so you’ll know exactly what to expect.
Pros:
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No origination fees
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Easy-to-use online platform
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Transparent pricing
Cons:
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Only available to borrowers with good credit
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No physical branches for in-person assistance
6. Bank of America
Why Bank of America is the Best: Bank of America is a trusted name in banking and mortgage lending. Their cash-out refinance options are competitive, and they offer excellent customer service through both online and in-person channels.
Key Features:
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Competitive Rates: Bank of America offers competitive rates for cash-out refinancing, especially for existing customers.
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Customer Support: Bank of America has a reputation for providing strong customer support, with options for in-person, phone, and online assistance.
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Wide Range of Loan Options: Bank of America offers both conventional and government-backed mortgage products.
Pros:
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Well-established financial institution with a wide range of mortgage products
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Flexible loan terms
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Strong customer service
Cons:
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May have higher fees than some online lenders
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Can take longer to process loans compared to digital-first lenders
How to Apply for a Cash-Out Refinance Mortgage
Applying for a cash-out refinance mortgage is similar to applying for a regular mortgage. However, because you are borrowing more than your original mortgage, lenders will carefully review your financial profile.
Here are the steps to follow:
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Check Your Credit Score: Lenders will evaluate your credit score to determine the interest rate and terms they offer.
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Evaluate Your Home Equity: You’ll need at least 20% equity in your home to qualify for cash-out refinancing.
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Gather Financial Documents: Be prepared to provide proof of income, tax returns, and other financial documents.
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Compare Lenders: Shop around and compare offers from different lenders to ensure you’re getting the best deal.
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Submit Your Application: Once you’ve found the right lender, submit your application online or in person.
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Wait for Approval: The lender will review your application and order an appraisal of your home. This process can take anywhere from a few weeks to a month.
Conclusion
Choosing the best cash-out refinance mortgage lender is a crucial step in securing favorable terms and rates. Lenders like Rocket Mortgage, LendingTree, SoFi, and others offer competitive options for homeowners looking to tap into their home equity. By considering factors like interest rates, fees, and customer service, you can make an informed decision that aligns with your financial goals.
If you’re looking to refinance, take the time to compare different lenders and choose one that fits your needs. With the right lender, a cash-out refinance can provide the financial flexibility you need to achieve your goals.