Obtaining a HELOC for investment properties

12 Replies

Does anyone know of lender that can do HELOC's for rental properties. I've got strong equity positions with a few different rentals and would like to have access to additional cash, but every lender I've spoken with so far can only do HELOC's for primary residences. A cash-out refi would be the back-up plan, but I'd really prefer to not go that route if I can secure a HELOC instead.

@Peter Stur I'm very interested in doing the same. I have read in a couple of form's regarding local banks as well as Penfed doing HELOC for rental properties. I haven't had luck finding local bank one yet (tbh, I haven't looked too much either.) I'm currently in contact with Penfed so keeping finger crossed.

@Peter Stur Not sure where you are located, but I've found that smaller local banks are the best when it comes to HELOCs on investment properties. I have 3 HELOCs on three different properties using 70 LTV. It's a great option to have! I would reach out to some of the smaller more relationship-based banks in your area and see what options they might have.

Thank you Jennifer. I am located in the Denver area and already tried a few local banks & credit unions with no luck so far. If you know any Colorado banks that can do this please let me know and I'll definitely give them a call. 

Hey Peter,

I just went through this exercise for my primary, and I googled credit unions in CO and just went down the list.  I know most offer it for primary's but I specifically remember talking about investment properties as well.  If I am not mistaken it might have been Bellco CU.  Its been about a month now and I must have called 50 different CU's so I'm not entirely sure but it is at least a place to start.  

@Peter Stur

I'm in denver and was just researching this as well. Bank of the West will do a HELOC on a rental property at 70% LTV. Unfortunately, I need a few more thousand to pay down on my mortgage before I can qualify. Message me and I'll give you my contact at Bank of the West.

@Peter Stur

I have used Pentagon Federal Credit Union for up to 80% LTV on rental properties. My property was in Oregon. They are a national bank, so most states should be available.

For Texas or Colorado, check out Security Service Federal Credit Union. I have not done rental properties with them, but have done 100% LTV on primary residences through them.

Good Luck!