Can a Land Trust get a HELOC?

[Karin Crompton]

Hey all - this is a bit of a follow-up to a question I posted earlier (http://www.biggerpockets.com/forums/49/topics/120948-finance-101-how-do-i-buy-this).

I'm looking to purchase a vacation rental property that currently belongs to 3 families together (mine, my parents and my sister's).

Here's my latest thought:

The subject property is owned by a Land Trust and is free and clear. My mother is the Trustee. So the boiled-down version of the question is: can the Land Trust get a HELOC on the property? Would they require my mother, as Trustee, to be a guarantor? Is there any possible way to have the Land Trust itself take out the HELOC, and not my mother?

The property has been used as a vacation rental for about 4 1/2 years and cash flows, so I have paperwork I can show the bank that I think would demonstrate "seasoning."

On another note, Mom took out a HELOC on her primary residence in order to help purchase the vacation rental. So my idea is, I find a way to essentially move that HELOC over to the vacation rental and free up the equity in her primary residence (also, she'd simply like it to be paid off). Does this thought make sense? Ultimately, I'm attempting to be the owner of the vacation rental and buy out the other partners. Mom might still be involved in the new loan, but if I can do it another way, I'd love to.

Thanks for any input!