Can’t cash out in Texas. That’s the fail safe.
However, let’s say you have a 30 year fixed loan at 6%. You can refinance for 3.25% take 40k to do upgrades or whatever and have the same monthly payment. If you are not worried about when your loan will be paid off or your new monthly payment why wouldn’t you do it?
Depends on where you are at in the loan. We refinanced once 15 years ago to a 15 yr loan. Didn’t take out any money, just refinanced the loan. Wasn’t long until we were at a place where any refinance or loan didn’t make any sense. Our house is paid for now and we have no payment except property taxes. This was during the same time period she was doing her thing. Her house will never be paid for now and she acknowledges that if a financial catastrophe comes she can do nothing but walk away and rent.