Hey guys and girls. My brother in law and I plan to start investing by building new homes. I have a friend who used to be a home builder who can build me a 2000 as fr 4bd 2.5 bath home for 100k. I found a lot that I really like in my town that is 1.25 acres on top a hill with a view. Similar sized homes in that neighborhood are worth 380k+. So what I am thinking is buying the lot (listed for 39k but been on the market for a year) for 30k and having my friend build me the house for 100k. If this happens, we should have a lot of equity since it'll be ours outright, and then we will use the 380k of equity to build new properties since it's chesp to do. Anyway, my brother in law called his bank, and when they asked his intent for the money, they recommended a construction loan instead. He is trying to get a HELOC on a home he owns outright .We obviously don't want to go that route since we will be obligated to build with a contractor and it will cost us much more, to the point where it doesn't make sense. So my question is, how can we go about getting the HELOC for our purpose? This may sound like a dumb question, but we have never done this before.