Possible to get HELOC at purchase

[Eric C.]

I am looking at buying a property with my long term girlfriend. We will be doing conventional financing with 20% down (me providing the down payment. Is it possible to do the purchase with a 50% first position loan, and a 30% HELOC right from the start. I have the cash to be able to pay it off and then use it when needed for the next investment.

[Edward B.]

Originally posted by @Victor S.:

Originally posted by @Edward B.:

@Eric C., you used to be able to do this so I imagine it is still possible. I would just shop around and find a lender or mortgage broker that can. The last time I tried it they made me close first and then go back for the HELOC. Less than ideal because there is no guarantee you will get the HELOC, but it worked out fine in my case.

Where is the heloc coming from here? Are you trying to get a heloc against the property you're buying and use it as part of the dp? 

You say you have the cash to pay it off, then either throw more cash in and get a heloc after the close or just do 20% and use the cash to do deals. No need to over-complicate this.

That is certainly an option. As I said the risk is that you can't get the HELOC afterwards and now your money is trapped in the property. Choose your poison.