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Updated over 7 years ago,

Account Closed
  • Philadelphia, PA
37
Votes |
140
Posts

Bank stated that HELOC CAN NOT BE USED AS DOWN PAYMENT

Account Closed
  • Philadelphia, PA
Posted

I have heard so much about people successfully using HELOC as a down payment for investment property. Decided to do the same. We owe 95K on our primary residence, wich is valued around 200k. Went to the bank today, the same one which we have our mortgage with. Before applying I decided to ask if I could use the HELOC for down payment on an investment property. Here was the answer " Technicaly, if you were to disclose to us that you are going to use HELOC for investment purposes our rules are that you can't use HELOC for that"

So here is my questions. How do you interpret that answer? 

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