In the past, getting a cash-out refinance or a home equity loan was the traditional way of getting equity out of your home. However, since most homeowners don't want to give up their low rate with a cash-out and don't want to fix a high rate with a home equity loan, HELOCs are becoming more popular than ever. Here's why it's the best option to take cash out of a property right now:
- Available on Owner Occupied or Investment Property
- Won't affect your 1st mortgage
- LTV up to 90%
- DTI up to 50%
- Interest only for the first 10 years, and only pay when you have money drawn out
- Variable rate, so your rate will automatically adjust down if rates drop in the future
- Very low closing costs, often an appraisal is not needed
- Can borrow from and pay it back as many times as needed during draw period
- The cash you take out can be used for anything--renovations or a down payment on an investment property, consolidating credit card debt at a lower rate, buying a new car etc.
Feel free to call or email me anytime to calculate how much you could take out!
