Cash-Out Refi's At 56%: Freddie Mac

Of those refinancing at Freddie Mac this past quarter, 56% took out 5% or more than the original loan. This rate was a slight dip from 59% in the third quarter of 2004.

"The Cash-Out Refinance Report also revealed that properties refinanced during the fourth quarter of 2004 experienced a median house-price appreciation of 15 percent during the time since the original loan was made". It is clear that homeowners continue the risky practice of borrowing against price appreciation. A complete chart representing the data can be found here.