Rental Property Investor · Where we are parked · Member since 2013 · 584 posts · 178 votes
Hello all,
Does anyone know of any banks/lenders who will give a HELOC on an investment property? We know we could do a cash-out refinance but we already have a pretty good rate and don't want to pay thousands of dollars in closing costs. The property is in California.
Rental Property Investor · Where we are parked · Member since 2013 · 584 posts · 178 votes
11y
@Kyle J. Thanks for the info. The person we talked to at Wells said no but I'll call back. Maybe the person we talked to wasn't aware of that. And I'll call Union Bank as well.
Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
11y
Wells Fargo definitely does them. I was just in there last week getting the info on them. Wells goes up to 60% LTV on investment properties, and Union Bank goes up to 65% LTV.
Rental Property Investor · Where we are parked · Member since 2013 · 584 posts · 178 votes
11y
Thanks @Sandra Holt. I will check with our credit union but TD is primarily an east coast lender so they don't lend in California but this will be good for east coaster's to know. :)
Rental Property Investor · Where we are parked · Member since 2013 · 584 posts · 178 votes
11y
@Prolet Miteva We used Redwood Credit Union, who we have been members of for years. We just didn't realize they offered HELOCs on investment properties. I think they go up to 85% but if you go 80% or below it's zero closing costs. Hope this helps!
Musician & Real Estate Investor · Edmonds, WA · Member since 2014 · 43 posts · 12 votes
11y
Hi all, BECU (Boeing Employee Credit Union) offers HELOC products on rental properties. I believe it is necessary to either live in Washington, or have a family member who lives in Washington, to get an account with BECU.
I am planning to call PENFED about one of my upcoming investment properties that will be owned free and clear. Will they do a HELOC if the Deed is in a business name rather than my personal name?
Real Estate Agent · Mechanicsburg, PA · Member since 2014 · 529 posts · 217 votes
11y
Is there a "seasoning period" in order to get a HELOC on a rental? For example, I own a property free and clear that's worth roughly 90k. Do I have to wait 6 months before a lender will consider doing a HELOC?
Rental Property Investor · NY · Member since 2013 · 844 posts · 350 votes
11y
Christian Bors
Their is a 6 month seasoning requirement if you want the bank to consider the appraisal value of the home.
If you do it before the 6 months they will use the purchase price.
Investor · Austin, TX · Member since 2017 · 126 posts · 45 votes
9y
Wells Fargo will NOT do a HELOC if you have 4 or more investment properties... even if you own them all free and clear! ... no mortgages on them! I wasted hours with them. Plus, they are a horrible company... they are continually sued and fined by the government.
I am planning to call PENFED about one of my upcoming investment properties that will be owned free and clear. Will they do a HELOC if the Deed is in a business name rather than my personal name?
Did you ever find out if PENFED would do a HELOC on a business-owned investment property? Thanks!
Rental Property Investor · Marietta, GA · Member since 2014 · 41 posts · 24 votes
9y
@Jamie Kern I was on the phone with two reps from Pen Fed yesterday. I was told they would not do a HELOC on a property in an LLC and was also told they would not do HELOCs for anyone owning four or more properties. I was very disappointed, their 5/5 equity line at 4.75% would have been great for me.