Could a HELOC be rescinded/limited by bank if the market drops?
So I’m in the process of securing a couple HELOCs on rental properties. Curious if there is a scenario where these lines of credit, after being secured, could be recalled/limited if the market corrects or takes a dive..?
If a property is worth 250k today, but a year from now is selling for 175k, could the bank effectively take away the HELOC?
I’ll of course ask my back this question as I finalize things but curious what all you BP experts have see on the topic.
Thanks!