Heloc on primary denied because rental has month to month tenants

[Tyler Last]

Hey all,

We're attempting to pull a heloc on our primary to use the money for substantial upgrades to the units on our rental property. Heloc was denied because our tenants have month to month leases, and have for nearly two decades. We recently acquired the property, and have yet to do new leases. Underwriter says month to month leases aren't acceptable to prove we're able to afford it all. DTI is too high when they don't count rental income. How is a month to month lease not acceptable? Any suggestions? Try another bank? Thanks!