VA Loans and Getting Cash Out in Texas

[Anastacia Shelton]

We moved to TX and purchased a house to live in, rehab and sell. Used VA loan, just like we have on our last 3 houses (but in TN). We intended to cash out refinance/get a HELOC, something, to utilize the built in equity, since our loan was for $290k (includes the $10k upcharge the VA requires) and the appraisal was for $340K. The house was very outdated/distressed when we bought it and we've already rehabbed completely the master bedroom and master bath, so we think we'd get a higher appraisal already. We've now discovered that TX is the ONLY state where you can't cash-out refinance a VA loan!! We really want to get moving on this house, get it fully rehabbed and on the market, but we need money! Any reasonable suggestions are MUCH appreciated!