HELOC

[Charles Stubblebine]

What do you have to pay upfront to get a HELOC? And is there a certain amount of the original mortgage that has to be paid off in order to qualify for a HELOC?

Thank you.

Charlie  

[Roger Pokorny]

The banks I have talked to will lend up to 90% with a HELOC. In your situation, you would be able to get a HELOC for $16,000 ($190,000 X 90% - $155,000).

Gone are the days that banks will lend up to 125% of the appraised value.  Many of them suffered from extending their credit too far in hopes of houses appreciating.