Banks for HELOC on Investment Property?

Banks for HELOC on Investment Property?

Lender · Athens, GA · Member since 2021 · 6 posts · 2 votes

Hey all, I have one rental that I bought as my primary residence back in 2019. I'm kicking myself for not opening up a HELOC before I moved out and made it an investment, but you live and learn.

I'm partnering with my friend who is actually the reason I'm a lender now (he's an agent and we wanted to learn both sides of the business before investing). We have a hard money lender for a flip, but need to front 15% ARV. We could do this in a few months, but we have a deal now. Both of us have one rental with enough equity, just not sure how to take it out without selling. The cash flows on both are phenomenal, especially considering we both have $0 in each deal using the VA loan, so that's not an option for either of us.

Long term we want to raise enough capital to begin to BRRRR using our own money.

0Reply
16 views

Most Popular Reply

Member since 2020 · 2 posts · 3 votes
5y

Try PenFed, I was able to obtain HELOCs on both of my investment properties.

See this reply in the discussion

5 Replies

Jump to latestLatest
  • Omaha, NE · Member since 2020 · 611 posts · 665 votes
    5y

    I have a HELOC on my rental. It takes a little hunting, but you should be able to find a bank that would help with this, though you might need to move faster, since the bank would likely want an appraisal, and as you said, you have the deal now.

    The next best option is to hunt further for a Hard Money Lender with different terms. I know of at least two in my area that will lend 100% plus the money for rehab. It's expensive, but if you have a deal, well worth it.

    I'd say your best luck will be joining a local Facebook Real Estate Investors group and posting a hard money request there. Best of luck!

  • Lender · Athens, GA · Member since 2021 · 6 posts · 2 votes
    5y

    Great thanks Jody! What was the max LTV on that HELOC if you don't mind me asking?

  • Member since 2020 · 2 posts · 3 votes
    5y

    Try PenFed, I was able to obtain HELOCs on both of my investment properties.

  • Member since 2020 · 25 posts · 25 votes
    5y

    @Ethan Martin

    Seconding Penfed. Up to 80% LTV on investment properties. However, I believe the HELOC is only offered if you own 3 properties or less in your name.

  • Lender · Athens, GA · Member since 2021 · 6 posts · 2 votes
    5y

    @Karah Collins that’s perfect. Going for my 3rd now.

    Definitely going to check them out thanks y’all!

Join the conversationCreate a free account to reply, vote on answers and follow this thread.