Is it true that you can't do a cash-out refinancing in Texas?

Q. I've heard that in the state of Texas you cannot do a cash-out refinancing. Is that true?

A.No. A relatively new Texas law allows you to refinance your mortgage and obtain up to 80% of the equity in your home.

Say your home is worth $200,000 and you still owe $100,000 on the mortgage. That would give you $100,000 in equity (the difference between the value of your home and what you owe on it). In that case, you would be able to get up to $80,000 cash (80% of $100,000).

By: home-equity.interest.com