Hi BP experts,

I've been talking to various banks on my options to do a cash-out-refi vs. line of credit on my rental property business. Most banks and credit unions offer a traditional cash-out-refi or a line of credit (LOC). Both approaches will require going through all the title paper work on each of my properties.

However, one bank in north texas is open to a discussion of opening a line of credit on the properties as collateral whereby they would have a lien on my properties (which I currently hold free and clear). This would also limit the paper work to the business as a group and avoid going through each of the properties one by one.  

Anybody do this kind of LOC? Using properties as collateral whereby the credit has a lien to the properties?

Thanks!

Mike