I need to pick a bank for a HELOC

[Daniel Devin Jewell]

Okay guys I need help!!

Basically I'm trying to decide the pros and cons of what bank to use for a home equity line of credit.

I'm going to lay it all out so bear with me

I work in real estate full-time as a boots-on-the-ground resource for other investors.

3 years ago I started to realize I needed to pay more taxes in order to qualify for loans.

2021 was the golden two-year mark where I had a increased self-employed income so more banks will start looking at me before this it was extremely hard being that I was self-employed.

I own a house near Charlottesville Virginia I refinanced it and the appraisal came back at 270k with a mortgage on it for 125k so about 140k inequity.

I approached several Banks UVA Credit Union and truest / bb&t are the two that responded favorably to me.

They both have approved me pending a appraisal and title search.

The bottom line is UVA Credit Union called me earlier today and I gave them to go ahead to proceed assuming that the other was just dragging their feet they offered me a 75 k line of credit with an interest rate of 2.8% for the first year and then 1% above Prime for 10 years and then it will convert to 20 years.

Truist / bbandt called me 10 minutes ago and offered me 100k with interest-only payments starting at 5%. they also offer a draw program where if I was to pull out X amount of money we can lock a rate in and amortize that over however many years, up to 30.

I've got big plans for this money!

my plans will work with 75 but 100 is 100. should I be concerned with one or the other closing or not closing?

should I make it just about the money?

or should I take relationships into account like the fact that my LLC has an account with the UVA Bank or the fact that bbnt is a national brand and I am much more likely to be treated like a number to them but it'll be easy for me to operate in other states which I do regularly.

I've never used a home equity line of credit any advice is appreciated.

[Scott Myers]

Go back to your CU and tell them another bank is offering you $100k.  Everything is negotiable