The best way to get money out of a property?

[Philip Joseph]

What is the best way to pull money out of a property that is completely paid for? Cash out refinance or home equity loan? Which one is more expensive long-term? Is there an option that I am missing?

Thanks, Cajun

[Jody Sperling]

If you have thirty- or more percent equity in the property, you can apply for a HELOC. The First Lien HELOC is the best option, as it will replace the mortgage on your home and give you a revolving line of credit up to 90% of the value of your home.

The fees and closing costs on a HELOC are exceptionally low; interest rates are favorable, and you don't pay any interest on money not used, whereas with any loan product, you pay interest on every dollar you've been given access to. Best of luck!