What are people seeing with HELOC right now?

Question

Are you finding, banks are reluctant to offer HELOCs? Meaning, am I going to have to go for a cash out refinance instead?

Arthur Barragan · Answer

I'm in a similar situation, looking to secure a HELOC to have additional funds available.

I found the following link useful:

https://www.bankrate.com/home-...

I will continue to follow future posts.

Dominique Ross · Answer

Thank you for this post. I am current in the position of looking at different lenders here in Atlanta and I have found that alot of them have suspended the HELOC program. I will make sure to check with TD Bank.

Adrienne Donato · Answer

@Brian Gerlach good to know. Thank you. I’ll do some digging and see what I find.

Adrienne Donato · Answer

@Steve Morris thank you. Is it possible to get both a mortgage preapproval and HELOC in the works at the same time? I’d like to have the option to do a 30 year mortgage, or offer cash so I can make a lower all cash offer, without having to go the hard money route. ￼￼

Brian G. · Answer

@Adrienne Donato because they are one of just a few banks who will do a Heloc on a rental property.

Steve Morris · Answer

You can get HELOC, just the terms are not real favorable (like 4%+ interest rates).  When banks get nervous, they get picky about lending money.  HELOCS require they set aside funds, even if you don't use them and are usually not 1st debt.

In short, banks want to do low LTV loans on property in 1st position.

Adrienne Donato · Answer

@Brian Gerlach why Pen Fed? I’ve never gotten a HELOC Before. Is this a good one?

Brian G. · Answer

@Adrienne Donato not sure, check with Pen Fed and report back here and let us know!

Adrienne Donato · Answer

@Kerry Baird good to know. I’m closing my refinance within 20 days (for 2.99 fixed), then I want to look into a HELOC for rental property investment. Didn’t want to do a cash out refi, prefer a HELOC. I heard Bank of America has one of the best. But wanted more opinions. Thank you.

Kerry Baird · Answer

My contact at TD Bank said they are still processing’s HELOCs.

What are people seeing with HELOC right now?

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