Refinance your mortgage

To calculate your current loan-to-value ratio, divide your current mortgage balance by the approximate value of your home.

(Current mortgage amount) / (approximate home value) = loan-to-value ratio

If you want to cash out some home equity to pay off high-interest credit card debt, add the amount of debt you’re paying off to the loan amount, like this:

(Current mortgage amount) + (credit card balance to pay off) / (approximate home value) = loan-to-value ratio

Here’s an example: Let’s assume your current mortgage balance is $300,000 on a home worth approximately $450,000, and you’d like to pay off $15,000 in credit card debt. Your calculation would look like this:

($300,000 + $15,000) / $450,000 = 0.7 or 70%

Since your loan-to-value ratio is less than 80%, you can cash out enough equity to pay off your credit card debt without having to pay for mortgage insurance. Also you can still take out 10% more and invest the money maybe process another property!