HELOC on several different investment properties?

[Joe R.]

I currently have a HELOC on an investment property I own.

I recently purchased another investment property.

Will banks/lenders allow me to take another HELOC on the new property?

If yes, can I expect a higher rate than the 1st HELOC or any other issues?

[Brent Coombs]

Originally posted by @Joe R.:

I currently have a HELOC on an investment property I own.

I recently purchased another investment property.

Will banks/lenders allow me to take another HELOC on the new property?

If yes, can I expect a higher rate than the 1st HELOC or any other issues?

Which home did your Lender use as security for your FIRST Equity Line Of Credit?

If as you say it was ONLY your investment property used as security (as opposed to you buying that investment property WITH your HELOC), then why would your Bank change the rules for your second investment property? In any case, why not just ask THEM?

My guess is that for the first one, you had to show proof of income from the property itself, right? If so, you may have to wait their pre-determined seasoning period before you can use the second property's income into the equation.

Also, how much ADDITIONAL equity do you have in the second one other than the required say 25% deposit? Or, if you paid all cash - why? Happy New Year...