I decided to take out a LOC on a rental property I own with a 0.57 LTV. The lender at BofA assured me I could use an investment property. I found a deal for a triplex locally and trying to purchase as Owner Occupied using FHA and close the HELOC before opening escrow (if I got that far).

BofA called me this morning and said they don't do LOCs on investment properties. There goes my downpayment. I have cash but not quite enough to make it work when I run the numbers. Called Wells Fargo and they said they would do it, only they do up to 60% LTV, so I'd virtually get no money.

Thought about a loan from a friend with real contractual terms.  I've heard if you can provide documentation some lenders and underwriters will accept this.  Is this true in your experience?  The other option is to bring a couple of friends in on the deal which I may look at doing.  

I can wait for the next deal, and more cash on hand, but this was a good deal and I was pumped!  Hate to let this one go...

Am I missing anything?