Why Are Refinance Rates Higher With all of that being said, the rates for refinance with taking out cash is deemed riskier because the buyer could be trying to recoup money with the plan of going into default and so the interest rate is higher.Comparing Interest Rates Calculator Fha Rate Vs Conventional Rate But under the FHA pilot, processing times are shortened to 30 days under the Expedited Approval Process track and 60 days under the Standard Approval Process track. “A shorter application review.