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ARMs are great for homeowners who plan to move, refinance, or pay off their mortgage in a few years. How do I get a Conventional Cash-out Refinance. A cash-out refinance is a loan that gives the borrower cash at closing. The cash comes from equity in the home. For instance, if a homeowner owes 100,000 on a home thats worth 200,000, he or she can apply for a loan amount bigger than what they owe.