Put your equity to work.
Refinancing is rarely one-size-fits-all. Here are the four pathways most California homeowners consider, in plain language, with the trade-offs that actually matter.
Rate & Term Refinance
Replace your existing mortgage with a new one to lower your interest rate, shorten or extend your term, or switch between fixed and adjustable. Loan balance stays roughly the same, so the goal is a better monthly payment or long-term interest savings.
Cash-Out Refinance
Replace your mortgage with a larger one and take the difference as cash. You get a single new loan at today's first-mortgage rates and use the proceeds for renovations, debt consolidation, education or investment.
Home Equity Line of Credit (HELOC)
A revolving credit line secured by your home. You draw what you need, when you need it, and pay interest only on the outstanding balance. Most HELOCs carry a variable rate and sit behind your existing first mortgage.
Home Equity Loan (Closed-End Second)
A second mortgage delivered as a one-time lump sum at a fixed rate and fixed term, layered behind your existing first mortgage. Your original low-rate first stays in place, so you keep that rate while tapping equity.