Other ‘s the interest towards the refinanced financing Rates of interest are still quite lowest however, might not be all the way down than what you happen to be currently paying, considering after you grabbed your first mortgage. You could end up getting a high rate than you been with, and thus you’ll be able to spend more on the mortgage throughout the years. 2. Domestic Collateral Mortgage Another way to tap into much of your home’s equity and use they to shop for a second house is due to a house guarantee mortgage. When you are a re-finance substitute a preexisting financial with a new one, a house security loan is one minute mortgage and additionally your financial. The borrowed funds dimensions hinges on the degree of equity on your own priple, if your home is already appreciated at $3 hundred,000 and you also owe $150,000 on your financial, the equity is actually $150,100.