Finance
An Oklahoma homeowner who has built significant equity may access it through a cash-out refinance, which means:
AThe lender pays the homeowner to refinance
BThe owner refinances for more than the current mortgage balance, receiving the difference in cash, secured by a new larger mortgage on the property✓ Correct
CThe homeowner sells part of the home to a third party
DThe original mortgage is split into two loans
Explanation
A cash-out refinance replaces the existing mortgage with a new, larger loan. The owner receives the difference between the new loan amount and the existing payoff. This allows equity access for home improvements, debt consolidation, or other purposes.
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