Consolidating loan mortgage
If, when you go to consolidate loans, you realize that your second mortgage was used to pull cash out of your home for some reason – called a cash-out loan – it may add cost to the new loan and reduce the amount for which you qualify.Cash-out loans are priced higher, lenders say because the borrower is statistically more likely to walk away from the loan if they get in trouble. This type of loan is simply an adjustment on the interest rate and terms of your current loan.
Consolidating multiple loans means you'll have a single payment each month for that combined debt but it may not reduce or pay your debt off sooner.
Having two mortgages isn’t as rare as you might think.