HELOC on a property under contract (10-months closing)

[Rahil Jain]

Hi there, 

We are selling out rental SFH in Bellevue, WA to a builder. We are under a contract and closing is scheduled for Feb 2023. Does anyone know if a bank or credit union will be willing to open a HELOC knowing that the loan will close within 8-10 months of funding? I am looking to pull some equity to fund part of 1031 reverse exchange on the same property. Thanks for input.

Thanks

Rahil

[Kevin Luttrell]

@Rahil Jain that’ll probably be bank specific. Can’t speak for myself since we don’t do HELOCs, but I can see a lender being ok with this since 8-10 months is still a ways out.

It’s hard to find banks willing to offer HELOCs for investment properties in general though.