HELOC/LOC

[Account Closed]

Hopefully I am In the right place for this question.

I own my first home with no mortgage or anything. I am guessing that it was worth about 200k since the last few properties near by have been sold around there. I am wondering how hard, or if it is possible to get a HELOC or Line of Credit if I just purchased another home last month which was a conventional, residence loan.

My old home is currently pending tenant (July 1st) and will be section 8. I make about 30 k a year not including rent income.

Any info will be great.

[Amir Levi]

Bank regulations are much tougher nowadays, than what it used to be 5 years ago.

Credit and income is obviously on top of list of rejects.

Having said that, with a 200k free and clear house I think you should be able to get a HELOC for at least $100k.

However, once the bank finds out you are out of the house, it becomes an investment property, listed in sch E of your tax return.

If you can convince your lender that it is still your primary residence, you maybe able to get that HELOC.

Contact your local bank, and give them your tax return and fin statement. You got nothing to lose, and a HELOC to gain.

Amir