You may want an equity second or a new first. This depends on the relative size of your first and the cash out. Equity lines issued by direct lenders have low cost but high rate. You again have to discuss your exact situation with us, as we may have some costs, but a better rate. You currently have a first and second mortgage.
Banks love giving people second mortgages.
Unfortunately, many of those people would have been much better off getting a new first mortgage instead. I'll analize your situation to see if it makes sense for you. I will point out only the 3 most common mistakes I see people make. Setting an unrealistic goal . You should first succumb to the fact that once you can lower your rate with no out of pocket expense, you should probably refinance.