Chances are you may not have heard of the VA Cash-Out Refinance program, but if you’re looking for a great alternative to a Home Equity Line of Credit (HELOC) or standard Home Equity Loan, then the Hawaii VA Loans Equity Plus Refinance is the right choice for you!

About the Program

The HVL Equity Plus Refinance program is different than a regular home equity loan, which is a second lien against your property. You’re essentially replacing your existing mortgage with a new loan that allows immediate access to cash using your home equity with easy fixed-rate monthly payments.

The HVL Equity Plus Refinance may be preferable to a HELOC which has unpredictable variable rates. Another benefit of the HVL Equity Plus Refinance is that the interest on your VA cash-out loan may be tax deductible, unlike the interest on a HELOC or equity loan, which could save you even more money.

Why It’s So Popular

Over the last two years, VA cash-out refinances have grown in popularity, making up almost 20% of all VA loan transactions.

The advantages for the borrower include:

  • Consolidating higher interest debt to reduce monthly payments and improve family cash flow
  • Helping to pay for college or other long term investments like renovations, upgrades or repairs on the home

Other long term benefits include:

  • Finance up to 100% of the home loan-to-value (LTV).
    • We can lend on up to 100% of the value of the home to the county maximum loan amount ($721,050 on Oahu). We can go higher, but keep in mind, the equity requirement will increase as we go above the county loan limit.
  • Eliminate mortgage insurance if you have an FHA, USDA or conforming loan
  • Consolidate a 1st and 2nd mortgage
  • Restructure your home loan with no out-of-pocket costs

Furthermore, you can use that money to pay off any type of home loan with a 2.15 – 3.3% funding fee. Even if you have a conventional, FHA, or USDA loan, the Hawaii VA Loans Equity Plus Refinance is an available option for you if you meet the basic requirements.

Eligibility  is similar to a standard VA home loan:

  • Honorably discharged Active Duty, Reserve, and National Guard veterans
  • Active duty service members
  • Current Reserve and National Guard service members (typically 6 years of service is required)
  • Unmarried surviving spouses of eligible service members
  • Commissioned officers of the Public Health and National Oceanic and Atmospheric Administration
  • Any veterans that have not been dishonorably discharged

Contact Us to Get Started

If you’re interested in the many benefits of the Hawaii VA Loans Equity Plus Refinance program, we’re ready to help! Contact Hawaii VA Loans at 808-792-4251 to speak with a VA Loan Specialist or online at

The Hawaii VA Loans Equity Plus Refinance requires that you already have a mortgage on your property, but if you own your home free and clear and no longer have a mortgage, you can always contact us to research other options to use your home’s equity as well!