Yes. This is another common reason for refinancing. You may have reduced your loan amount as a result of the repayments you have made over several years. At the same time your home may have increased in value as a result of a rising property market. If your loan amount has reduced from, say, $400,000 to $370,000, and your home’s value has increased from $500,000 to $615,000, you now have a 40% equity in your home. If you were to refinance with a Loan to Valuation Ratio (LVR) of 80%, your refinanced loan amount would be $492,000, your deposit would be $123,000, and you would be able to withdraw $122,000 in cash. You could use that cash for renovations or extensions, or for debt consolidation by paying off debts with a higher interest rate than your home loan, or for any other purpose you choose. But remember that your periodic repayments will now be higher because you have borrowed a larger amount.