House Hacking

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Rene Ochoa
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New to BP, HELOC INVESTMENT.

Rene Ochoa
Posted May 23 2023, 17:28

Hi,I'm trying to get a HELOC on investment property and used to house hacking, construction .the bank that I have my properties doesn't have it anymore where is a good place to get that type of loan?

thank you 

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Rick Albert
  • Real Estate Agent
  • Los Angeles, CA
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Rick Albert
  • Real Estate Agent
  • Los Angeles, CA
Replied May 23 2023, 18:13

A lot of banks right now are holding off on HELOCs on investment properties or if they are, they terms aren't great.

Since it is house hacking, have you looked into the FHA 203(k) loan? There are other construction loans for primary residences that will probably work.

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Andrew Postell#1 Creative Real Estate Financing Contributor
  • Lender
  • Fort Worth, TX
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Andrew Postell#1 Creative Real Estate Financing Contributor
  • Lender
  • Fort Worth, TX
Replied May 23 2023, 20:29

@Rene Ochoa On the investment property you are trying to get a HELOC on, what is the value of the property and how much do you owe on the property?

Lender Texas (#392627)

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Devin Peterson#5 Private Lending & Conventional Mortgage Advice Contributor
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Replied May 24 2023, 04:13

Yes, this is possible within reason of guidelines. Send me a PM and I can connect you

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Rene Ochoa
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Rene Ochoa
Replied May 24 2023, 18:40
Quote from @Rick Albert:

A lot of banks right now are holding off on HELOCs on investment properties or if they are, they terms aren't great.

Since it is house hacking, have you looked into the FHA 203(k) loan? There are other construction loans for primary residences that will probably work.


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Rene Ochoa
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Rene Ochoa
Replied May 24 2023, 18:45
Quote from @Rene Ochoa:
Quote from @Rick Albert:

A lot of banks right now are holding off on HELOCs on investment properties or if they are, they terms aren't great.

Since it is house hacking, have you looked into the FHA 203(k) loan? There are other construction loans for primary residences that will probably work.



 Hi @Rick Albert thank you I will look into FHA 203(K) loan.

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Rene Ochoa
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Rene Ochoa
Replied May 24 2023, 18:49
Quote from @Andrew Postell:

@Rene Ochoa On the investment property you are trying to get a HELOC on, what is the value of the property and how much do you owe on the property?

Hi @Rick Albert the amount that I own is 330 and with some comparable, I think the value will be 700-750
thank you

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Rick Albert
  • Real Estate Agent
  • Los Angeles, CA
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Rick Albert
  • Real Estate Agent
  • Los Angeles, CA
Replied May 24 2023, 19:15
Quote from @Rene Ochoa:
Quote from @Andrew Postell:

@Rene Ochoa On the investment property you are trying to get a HELOC on, what is the value of the property and how much do you owe on the property?

Hi @Rick Albert the amount that I own is 330 and with some comparable, I think the value will be 700-750
thank you

For the investment property, correct? Some lenders will max out at 70%-80% LTV. If you do the FHA 203(k) loan, you only have to put down 3.5% of the purchase price and construction costs.

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Rene Ochoa
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Rene Ochoa
Replied May 25 2023, 12:46
Quote from @Rene Ochoa:
Quote from @Andrew Postell:

@Rene Ochoa On the investment property you are trying to get a HELOC on, what is the value of the property and how much do you owe on the property?

Hi @Andrew Postell
the amount that I own is 330 and with some comparable, I think the value will be 700-750
thank you

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Ryan Thomson#1 First Time Home Buyer Contributor
  • Real Estate Agent
  • Colorado Springs, CO
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Ryan Thomson#1 First Time Home Buyer Contributor
  • Real Estate Agent
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Replied May 28 2023, 11:18

@Rene Ochoa try local credit unions

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Replied May 28 2023, 12:35
Quote from @Rene Ochoa:

Hi,I'm trying to get a HELOC on investment property and used to house hacking, construction .the bank that I have my properties doesn't have it anymore where is a good place to get that type of loan?

thank you 

 Hi Rene, there are lenders offering this right now. The lowest rate and fee providers aren't so its not free/cheap money but what it can do for you obviously is the trade off. Leverage to make bigger gains with the construction- good for you. Happy to talk more - feel free to DM