Investor · Alexandria, VA · Member since 2016 · 860 posts · 460 votes
Hi All,
I"m looking for a 95-100% LTV HELOC company on a primary residence. I already have a LOC with Tower Federal Credit Union, so I cannot use them. But I'm looking for a company that will do a HELOC on a new primary residence that I'm purchasing . Will have around $35,000 in forced equity from the appraised value + the down payment (15%)
Any help is appreciated. Thanks.
DMV, DC, Northern VA, Maryland, Bethesda, Creative Financing, Financing
I used Mid Atlantic Federal Credit Union as @Tom Harkins and had an overall good experience. It took me about 45 days to complete the process for those that are still looking.
I had luck with Arlington Community Federal Credit Union late last year, so it could be worth reaching out to them. They were offering a 100% LTV HELOC on a primary when I connected with them initially.
@Cassidy Burns I opened a 95% LTV HELOC on my primary residence a few years back with Mid-Atlantic Federal Credit Union (MAFCU) based in Gaithersburg. Overall had a good experience with them.
There's a Lender called "Lower" they offer 95% LTV on HELOCs. I just closed with them. Here is my loan advisor's contact info tell him I sent you he'll take good care of you.
hi @Cassidy Burns! how’s your search going? i‘m shopping for 95-100 ltv heloc as well. also, you mentioned you have a loc with tower federal. i’m curious - that’s not the same as heloc, right? is that just plain line of credit not tied to home equity? i have two properties and one bank noted i can only do a heloc on my primary. the other property would be considered second home and i can’t do a heloc on a second/vacation home..
Hi @Michelle Oblena I ended up opening one up with Tower Federal and also was in contact with Arlington Community Federal Credit Union who had a 99% LTV Product for primary residesences and 80% for investment properties. I'd give both of them a call if you are interested in a quote.
Sorry, the LOC is a HELOC on an existing primary residence that I purchased and is tied to the homes equity., sorry for the confusion.
Hi @Michelle Oblena I ended up opening one up with Tower Federal and also was in contact with Arlington Community Federal Credit Union who had a 99% LTV Product for primary residesences and 80% for investment properties. I'd give both of them a call if you are interested in a quote.
Sorry, the LOC is a HELOC on an existing primary residence that I purchased and is tied to the homes equity., sorry for the confusion.
whoa 99% that’s amazing. i’ll check them out - thanks!
Hi @Michelle Oblena I ended up opening one up with Tower Federal and also was in contact with Arlington Community Federal Credit Union who had a 99% LTV Product for primary residesences and 80% for investment properties. I'd give both of them a call if you are interested in a quote.
Sorry, the LOC is a HELOC on an existing primary residence that I purchased and is tied to the homes equity., sorry for the confusion.
Cassidy - did Tower ask for a full appraisal or did it do a desktop appraisal instead?
I just got through a grueling 3 month process with Tower FCU which offers 100% LTV but I was rejected today because I stated the purpose of the LOC was to purchase an investment property. They would only accept my application if I said my intention was a rainy day fund, home improvements, etc... something personal. I'm going to try Arlington CFCU instead as they appear to be the only other FCU which offers 100% LTV.
Also the question above about appraisal - I refi'd my house in January although I sent that appraisal to them they forgot and did a drive by anyways (I know because I saw them taking pics).
For anyone still looking into this - I'm closing tomorrow on a 95% LTV HELOC on my primary with Next Mark FCU. It's been a really smooth, quick process. Now mind, I've owned this place for a year so I'm not sure if there's a seasoning period, but otherwise I recommend!
TowerFCU is slow as slug, 90 days to close on heloc! When I applied last year, both TowerFCU and Nextmark were in play, TowerFCU had little better interest rate and closing time was same for both 60-90 days. Things may have changed in year.
TowerFCU is slow as slug, 90 days to close on heloc! When I applied last year, both TowerFCU and Nextmark were in play, TowerFCU had little better interest rate and closing time was same for both 60-90 days. Things may have changed in year.
Absolutely painful process including not hearing from them for 7-10 days at a time despite responding to all requests immediately. All to get rejected lol. I chose them initially because they cover all closing costs vs Arlington where you have to pay recording fees/taxes.
I used Mid Atlantic Federal Credit Union as @Tom Harkins and had an overall good experience. It took me about 45 days to complete the process for those that are still looking.
TowerFCU is slow as slug, 90 days to close on heloc! When I applied last year, both TowerFCU and Nextmark were in play, TowerFCU had little better interest rate and closing time was same for both 60-90 days. Things may have changed in year.
Absolutely painful process including not hearing from them for 7-10 days at a time despite responding to all requests immediately. All to get rejected lol. I chose them initially because they cover all closing costs vs Arlington where you have to pay recording fees/taxes.
Most CUs will pay for closing on HELOC. It costs them roughly between $500 and $1000 for closing, and they hope to make that in interest from you. I learned there tons of small CUs in DMV that offer no-closing-cost HELOC after I applied with TFCU, and some banks offer that too but interest rates could be higher. Upside - quick close. If you are still hunting call TD Bank, they were closing in 2 weeks last I checked.
I just got through a grueling 3 month process with Tower FCU which offers 100% LTV but I was rejected today because I stated the purpose of the LOC was to purchase an investment property. They would only accept my application if I said my intention was a rainy day fund, home improvements, etc... something personal. I'm going to try Arlington CFCU instead as they appear to be the only other FCU which offers 100% LTV.
Also the question above about appraisal - I refi'd my house in January although I sent that appraisal to them they forgot and did a drive by anyways (I know because I saw them taking pics).
@Slaiman Atayee I'm sorry that Tower FCU strung you along for 3 months only to reject you for a question you probably answered on the initial intake application. That's a big breakdown in their process.
Thanks for sharing this information though. I was suspicious of the intent behind that question ("What do you plan to use the HELOC for?"). On my HELOCs, I answered it as generically as possible, or put Other. They don't need to know what I plan to use it for, not to mention the answer will change over time.
TowerFCU is slow as slug, 90 days to close on heloc! When I applied last year, both TowerFCU and Nextmark were in play, TowerFCU had little better interest rate and closing time was same for both 60-90 days. Things may have changed in year.
Absolutely painful process including not hearing from them for 7-10 days at a time despite responding to all requests immediately. All to get rejected lol. I chose them initially because they cover all closing costs vs Arlington where you have to pay recording fees/taxes.
Most CUs will pay for closing on HELOC. It costs them roughly between $500 and $1000 for closing, and they hope to make that in interest from you. I learned there tons of small CUs in DMV that offer no-closing-cost HELOC after I applied with TFCU, and some banks offer that too but interest rates could be higher. Upside - quick close. If you are still hunting call TD Bank, they were closing in 2 weeks last I checked.
Maybe you're right but TFCU was the only one I saw that covered all closing costs outright. Otheres mention paying up to $1k or like Arlington FCU paying everything but taxes/recordation. Thanks for the TD Bank referral. Any idea on LTV? On the site I only see them stating "Maximum combined loan to value (CLTV) is based on..." XYZ factors. If its in the 80/90's I won't even bother.
I just got through a grueling 3 month process with Tower FCU which offers 100% LTV but I was rejected today because I stated the purpose of the LOC was to purchase an investment property. They would only accept my application if I said my intention was a rainy day fund, home improvements, etc... something personal. I'm going to try Arlington CFCU instead as they appear to be the only other FCU which offers 100% LTV.
Also the question above about appraisal - I refi'd my house in January although I sent that appraisal to them they forgot and did a drive by anyways (I know because I saw them taking pics).
@Slaiman Atayee I'm sorry that Tower FCU strung you along for 3 months only to reject you for a question you probably answered on the initial intake application. That's a big breakdown in their process.
Thanks for sharing this information though. I was suspicious of the intent behind that question ("What do you plan to use the HELOC for?"). On my HELOCs, I answered it as generically as possible, or put Other. They don't need to know what I plan to use it for, not to mention the answer will change over time.
Honestly its my fault for being naive and not thinking more about my response. Lessons!
BTW for anyone that used Arlington FCU - do you have an idea on timing to close? Don't want to get strung out for 3 months again.
My Arlington Community FCU experience was awful as well. About 100 days to close, with me calling at least once per week to check the progress...squeaky wheel didn't really help. Taxes/fees (for an Arlington county property) cost about $700 at closing, and not folded into the loan. Overall an annoying process, and I probably would refrain from them in the future. However, their banking system is pretty user friendly on the backend and it's been pretty smooth.
My Arlington Community FCU experience was awful as well. About 100 days to close, with me calling at least once per week to check the progress...squeaky wheel didn't really help. Taxes/fees (for an Arlington county property) cost about $700 at closing, and not folded into the loan. Overall an annoying process, and I probably would refrain from them in the future. However, their banking system is pretty user friendly on the backend and it's been pretty smooth.
Wow, really appreciate that input. I wonder if the 100%ers TFCU/AFCU get that many more applications which drives the delays. I’ll turn to the others at 95% LTV in this thread.
TowerFCU is slow as slug, 90 days to close on heloc! When I applied last year, both TowerFCU and Nextmark were in play, TowerFCU had little better interest rate and closing time was same for both 60-90 days. Things may have changed in year.
Absolutely painful process including not hearing from them for 7-10 days at a time despite responding to all requests immediately. All to get rejected lol. I chose them initially because they cover all closing costs vs Arlington where you have to pay recording fees/taxes.
Most CUs will pay for closing on HELOC. It costs them roughly between $500 and $1000 for closing, and they hope to make that in interest from you. I learned there tons of small CUs in DMV that offer no-closing-cost HELOC after I applied with TFCU, and some banks offer that too but interest rates could be higher. Upside - quick close. If you are still hunting call TD Bank, they were closing in 2 weeks last I checked.
Maybe you're right but TFCU was the only one I saw that covered all closing costs outright. Otheres mention paying up to $1k or like Arlington FCU paying everything but taxes/recordation. Thanks for the TD Bank referral. Any idea on LTV? On the site I only see them stating "Maximum combined loan to value (CLTV) is based on..." XYZ factors. If its in the 80/90's I won't even bother.
Next Mark covered all my closing costs ($994 total). The deal is that if I close this HELOC within 3 years (e.g. to open another) I have to pay that back.
TowerFCU is slow as slug, 90 days to close on heloc! When I applied last year, both TowerFCU and Nextmark were in play, TowerFCU had little better interest rate and closing time was same for both 60-90 days. Things may have changed in year.
Absolutely painful process including not hearing from them for 7-10 days at a time despite responding to all requests immediately. All to get rejected lol. I chose them initially because they cover all closing costs vs Arlington where you have to pay recording fees/taxes.
Most CUs will pay for closing on HELOC. It costs them roughly between $500 and $1000 for closing, and they hope to make that in interest from you. I learned there tons of small CUs in DMV that offer no-closing-cost HELOC after I applied with TFCU, and some banks offer that too but interest rates could be higher. Upside - quick close. If you are still hunting call TD Bank, they were closing in 2 weeks last I checked.
Maybe you're right but TFCU was the only one I saw that covered all closing costs outright. Otheres mention paying up to $1k or like Arlington FCU paying everything but taxes/recordation. Thanks for the TD Bank referral. Any idea on LTV? On the site I only see them stating "Maximum combined loan to value (CLTV) is based on..." XYZ factors. If its in the 80/90's I won't even bother.
Next Mark covered all my closing costs ($994 total). The deal is that if I close this HELOC within 3 years (e.g. to open another) I have to pay that back.
@Laleh Omaraie The other condition which would force repayment is selling the house. I assume this is standard practice, since MAFCU did the same thing- $0 closing costs unless the HELOC is closed within 3 years.