No or Low Income Home Equity Loan

No or Low Income Home Equity Loan

Rental Property Investor · Knoxville, TN · Member since 2017 · 22 posts · 0 votes

 Does anyone know a no or low income Home Equity Loan lender?  Is there no such thing any more?  I don't want to refi. as I only need 50K from my equity and don't want to give up the great rate I got 18 months ago.  I don't have great income on paper as I sink all my income back into the business.  Any creative ideas such as a bank statement or P&L statement equity loan would be welcome as well.  

Great credit, but, on paper, not great income.  Have $170K+ in equity, but need $50K out. Any ideas are appreciated. 

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Michael BaumPro Member
Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
3y

That is interesting. I have never heard of a no-income loan. Maybe a DSCR loan as it relies on property income generation rather than your DTI.

Otherwise most lenders want to see their loans get paid back and you need an income for that.

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  • Phoenix, AZ · Member since 2019 · 32 posts · 17 votes
    3y
    Quote from @Luther Epperhart:

     Does anyone know a no or low income Home Equity Loan lender?  Is there no such thing any more?  I don't want to refi. as I only need 50K from my equity and don't want to give up the great rate I got 18 months ago.  I don't have great income on paper as I sink all my income back into the business.  Any creative ideas such as a bank statement or P&L statement equity loan would be welcome as well.  

    Great credit, but, on paper, not great income.  Have $170K+ in equity, but need $50K out. Any ideas are appreciated. 

    Following to see if anyone has creative solutions. I'm in a similar situation. I did find a hard money lender willing to do a 2nd position mortgage but the fees are rather insane. It may be our only option but curious if anyone has found another option.

    i know someone who got a LOC leveraged against home equity (without income) but that was a while back and haven't found a bank willing to do that recently 
  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    3y

    That is interesting. I have never heard of a no-income loan. Maybe a DSCR loan as it relies on property income generation rather than your DTI.

    Otherwise most lenders want to see their loans get paid back and you need an income for that.

  • Rental Property Investor · Knoxville, TN · Member since 2017 · 22 posts · 0 votes
    3y
    Quote from @Michael Baum:

    That is interesting. I have never heard of a no-income loan. Maybe a DSCR loan as it relies on property income generation rather than your DTI.

    Otherwise most lenders want to see their loans get paid back and you need an income for that.


     Yes, I have heard of them, but it seems no one does them much anymore.  Possibly not, no income, but Stated income might work as well. 

    Or there were bank statements mortgages that were still being done, as I know of, about 5 years ago.  

    I've heard them been called NIVA or SIVA loans for short. 

  • Rental Property Investor · Knoxville, TN · Member since 2017 · 22 posts · 0 votes
    3y
    Quote from @Michael Baum:

    That is interesting. I have never heard of a no-income loan. Maybe a DSCR loan as it relies on property income generation rather than your DTI.

    Otherwise most lenders want to see their loans get paid back and you need an income for that.

     Yes, I have heard of them, but it seems no one does them much anymore.  Possibly not, no income, but Stated income might work as well. 

    Or there were bank statements mortgages that were still being done, as I know of, about 5 years ago.  

    I've heard them been called NIVA or SIVA loans for short. 

    Also, I can go the DSCR Refi route, but don't want to refi the whole property if possible, just want a little equity back while maintaining the original loan.

  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    3y

    Ahhh stated income. That I have heard of. 

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