HELOC on a second property

[Tricia Holway]

Hi everyone, 

I'm looking for some advice as far as HELOC goes. I have a property in Washington state that has built up some equity so I called some banks about a HELOC and they are telling me that they do not lend a HELOC on nonowner-occupied property. This property is like a second home right now (I bought a house in Florida last year and made it my primary residence) I still have all of my furniture in my Washington property and I just started doing Airbnb with it but bookings are slow at the moment so I'm not really making any extra income from it. I technically could still visit that house and stay there if I wanted to. Does anyone know of a lender that is willing to do a HELOC on a second home? Thank you in advance!

[Taylor Dasch]

HELOCs are very hard to find on investment properties. Contact Jay Hurst on this forum, he has a similar product that is a second lien loan which will allow you to keep your current interest rate and just pay the interest on the equity that you pull out of the property. This is the closest thing that I could find to a HELOC on an investment property.

[Carlos Ptriawan]

Quote from @Tricia Holway:

Hi everyone, 

I'm looking for some advice as far as HELOC goes. I have a property in Washington state that has built up some equity so I called some banks about a HELOC and they are telling me that they do not lend a HELOC on nonowner-occupied property. This property is like a second home right now (I bought a house in Florida last year and made it my primary residence) I still have all of my furniture in my Washington property and I just started doing Airbnb with it but bookings are slow at the moment so I'm not really making any extra income from it. I technically could still visit that house and stay there if I wanted to. Does anyone know of a lender that is willing to do a HELOC on a second home? Thank you in advance!

There're few rental HELOC lender outthere, youcould search from archive and I was able to call them as well. HOWEVER

most of them only willing to work with you if you have 50% LTV.

[Dennis Nguyen]

Hey Tricia! I would reach out to your local credit unions. I have heard they offer favorable HELOC's for investment properties.

[Tricia Holway]

Quote from @Taylor Dasch:

HELOCs are very hard to find on investment properties. Contact Jay Hurst on this forum, he has a similar product that is a second lien loan which will allow you to keep your current interest rate and just pay the interest on the equity that you pull out of the property. This is the closest thing that I could find to a HELOC on an investment property.

 Thank you for the recommendation, I will reach out to him! 

[Tricia Holway]

Quote from @Carlos Ptriawan:

Quote from @Tricia Holway:

Hi everyone, 

I'm looking for some advice as far as HELOC goes. I have a property in Washington state that has built up some equity so I called some banks about a HELOC and they are telling me that they do not lend a HELOC on nonowner-occupied property. This property is like a second home right now (I bought a house in Florida last year and made it my primary residence) I still have all of my furniture in my Washington property and I just started doing Airbnb with it but bookings are slow at the moment so I'm not really making any extra income from it. I technically could still visit that house and stay there if I wanted to. Does anyone know of a lender that is willing to do a HELOC on a second home? Thank you in advance!

There're few rental HELOC lender outthere, youcould search from archive and I was able to call them as well. HOWEVER

most of them only willing to work with you if you have 50% LTV.

 Good to know, I will definitely search and reach out! Which ones have you called? Any luck with those?

[Tricia Holway]

Quote from @Dennis Nguyen:

Hey Tricia! I would reach out to your local credit unions. I have heard they offer favorable HELOC's for investment properties.

Thank you, I will try and search for one. Do you know of any credit unions that lend equity loans on investment properties?

[Stacy Raskin]

@Tricia Holway, I work with lenders that do HELOCs and 2nd mortgages on investment properties. I'll send you a message as well. 

[Dave Skow]

@Tricia Holway- thanks - the fact that you are using it as a STR will likely make lenders classify it as a rental ( versus a 2nd home ) ..you are right - most heloc lenders are onyl lending on primary residences ....I would try * the present 1st mtg lender * the smaller to mid size banks and credit unions that are close to the property * the instituion you bank at - good luck