HELOC - On the same property that you rent out and is sole source
Does anyone know of a lender that would provide me a HELOC on my property that I rent out (its my 'primary' family residence and only live in when not being rented) that also provides me with 90% of my income for the past 2 years?
How often do you live in this property?
Quote from @Turner Cress:
Does anyone know of a lender that would provide me a HELOC on my property that I rent out (its my 'primary' family residence and only live in when not being rented) that also provides me with 90% of my income for the past 2 years?
You will want to look at small regional local banks with a limited geographic footprint. Start dialing for dollars, mi amigo. And don't bother with any of the big banks or (as much as it pains me to say this) local mortgage brokers.
I don't work at a small regional bank and don't know all the details, but something about a) small bank with only a few branches and b) limited geographical footprint makes them get away with c) ignoring all the post-2008 Dodd-Frank type rules about income and "ability to repay" and needing to document that income and ATR.
To wit, local to me in California there's a regional bank doing "stated income" HELOCs where they don't verify the "stated income" in any way whatsoever, for example. Some local realtors use it as a tool for sellers that need a "quick $50k" to fix up the house before listing it.
There was some chitter chatter about them expanding their footprint to a few other counties (they only lend on real estate within their specific county footprint of business), one cost of that would have been no longer being able to offer that HELOC (I guess the HELOC is a good "gateway product" to get new checking/savings account customers, new car loan and wealth management customers, you get the idea). Like I said, I don't know all the details and am not a compliance lawyer.
