Heloc onInvestment Property

[Dan Breen]

Hi All,

  I'm looking for a Bank/Credit union, etc that offers Helocs on Investment Properties. Starting to feel likeka pipe dream, but I thought I'd check her before throwing in the towel. Thank you in advance!

[Katie Smith]

Hi Dan,

Just curious- any particular reason you're leaning toward a HELOC instead of a cash-out refinance on the investment property? Most lenders won't offer HELOCs on investment properties - those are usually limited to primary residences. You'll have a lot more flexibility and better chances with a cash-out refinance.

For investment properties, a DSCR (Debt Service Coverage Ratio) loan is one of the most common ways to do a cash-out. It doesn't require personal income verification - instead, it's based on the property's rental income compared to the monthly payment. Some lenders will go up to 75–80% LTV on a cash-out with rates that are still pretty competitive, especially if the rental income supports it.

Let me know if you’d like to talk through how it might work for your property - happy to help!