Investment property HELOCs that go above 80% ltv?

Investment property HELOCs that go above 80% ltv?

Real Estate Agent · Salt Lake City, UT · Member since 2014 · 473 posts · 230 votes

Hey everyone, I've asked this before, but always good to survey to see if any new options have come up. Has anyone come across lenders who will do HELOC's on investment properties above 80% LTV?

The best ones I know of currently are:

  • Penfed - up to 80% ltv on rental
  • America First Credit Union (Utah) - up to 80% ltv on rental
  • Navy Federal - up to 70% ltv on rental
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  • Chris MasonPro Member
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    Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes
    7y
    Originally posted by @Taylor Chiu:

    Hey everyone, I've asked this before, but always good to survey to see if any new options have come up. Has anyone come across lenders who will do HELOC's on investment properties above 80% LTV?

    The best ones I know of currently are:

    • Penfed - up to 80% ltv on rental
    • America First Credit Union (Utah) - up to 80% ltv on rental
    • Navy Federal - up to 70% ltv on rental

    HELOCs are all about the ability to cross-sell you other financial services. If a local bank or credit union were to open up a 90% CLTV HELOC on investment properties, the local REI would use them for that, but not use other financial services. So there would be minimal cross selling potential, and it wouldn't make sense.

  • Real Estate Agent · Salt Lake City, UT · Member since 2014 · 473 posts · 230 votes
    7y

    @Chris Mason Thanks for the explanation, that makes sense. I guess the only way then that they might consider it is if you kept a significant amount of funds with the bank?

  • Rental Property Investor · Logan UT · Member since 2017 · 11 posts · 3 votes
    7y

    @Taylor Chiu - Since you are in UT, Zions Bank is currently offering a Home Equity Credit Line (HECL) that goes as high as 85% LTV on non-owner-occupied investment property. I was looking for a HELOC and getting frustrated when a loan officer at a very local bank told me a fellow loan officer there had rentals and had a HELOC from Zions. I have never done business with Zions because they have lots of fees and I can find free banking options. But I am currently mostly through the loan process and everything has gone very smoothly so far. They were not offended I don't bank there but did send me home with business banking info. :)

    Wayne

  • Real Estate Agent · Salt Lake City, UT · Member since 2014 · 473 posts · 230 votes
    7y

    @Wayne Crabtree

    This is great info, thank you! I wonder if Zions Bank changed their policy recently, I didn't think they had 80%+ ltv non-oo helocs. I'll reach out now though. Thanks again!

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