Forum
« What type of screw is this? Subfloors - Opinions...? »
May 17, 2008
getting equity line on investment condo??
We own a condo as an investment (we rent it out)and do not have any mortgages on it. We would like to take out an equity line on it (we were thinking about 150K it is worth 450K) and want to do it with a low doc (stated) application. Does anyone know if this is possible?? From what I am finding there don't seem to be stated equity loans for investment properties anymore - only for first mortgages. From what I understand we can avoid all the closing costs of a first mortgage with an equity line... is this true? It just seems crazy to me that we can't get a loan since we owe nothing on it, but maybe this is the new mortgage environment? Any help greatly appreciated!
Comments
I agree it is crazy. Why wouldn't a financial institution just take your word for it regarding your income. I mean just because we are in the worst mortgage crisis this country has ever had caused by sloppy underwriting. It's not fair at all.
Posted by: guest at May 17, 2008 6:35 PM
Oh, yeah, why on EARTH would anybody give you $150,000 secured by a 450 K property? RIDICULOUS! 6.35 is clearly not bitter or twisted at all.
Posted by: guest at May 17, 2008 9:29 PM
It's my understanding that HELOCs are not typically allowed on anything except a primary residence.
Posted by: curiositykilledthecat at May 17, 2008 10:57 PM
9:29 stated income loans are called liar's loans for a reason.
Posted by: guest at May 18, 2008 12:01 PM
12.01, yet they are loans neverthless, no? Regardless of your moral outrage.
Posted by: guest at May 18, 2008 1:28 PM
Not anymore they're not. I have no outrage, just pointing out things have changed a little in 2008. I could care less.
Posted by: guest at May 18, 2008 1:45 PM
Just an fyi-- we were recently able to get a HELOC on a second home-- although we use it for personal use, it is not a rental.
Posted by: guest at May 19, 2008 1:22 PM
Investment Property Helocs are Hard to come by but available.
Try
Wachovia
Countrywide (even though I hate them)
Bank of America
One of my clients got approved by all 3 for a SIVA (stated income, verified asset) and the property was a 2 Fam. He had 720+ ficos and the LTV was very low.
I'm in the business.
Posted by: Adam Dahill at May 19, 2008 2:57 PM
There were never any stated investor HELOC products out there, even at the height of the "good" times. Any investor HELOC was always full doc.
Yes, we have no investor HELOCs at all at this time. If you want to tap into the equity of your condo, a first mortgage is your only hope but don't bank on stated income without signing the IRS form 4506 or 4506T which allows the lender to compare your IRS records with your mortgage application!
Posted by: MrMortgageMan at June 20, 2008 2:09 PM
Call me. I have a solution for you.
Lance
718-238-72222
Posted by: MrMortgageMan at June 20, 2008 2:41 PM
Post a comment
Please be patient while your comment is published. It may take a moment.