All Forum Posts by: Matt W.

I'm looking to the Austin BP community for attorney recommendations: I'm investing in a developer's project as a hard money lender. I need counsel to review all the agreements.

I've neglected developing an attorney relationship thus far (self-represent evictions in JP court, etc.), but it's time to find a good RE attorney.

Thank you!

A data point on lenders: Wells Fargo offers* HELOC on rental properties. Terms for Texas was up to 60% LTV. Additional underwriting if over 4 (or 5) financed properties (LO was unclear on the threshold and what the additional UW entails). Speaking with a LO over a few different months, I was quoted spreads of prime + 0.875%, +0.625%, and relationship discount spread of +0.5%.

*HOWEVER, as of 4/30/2020, Wells is getting more risk-averse and stopped accepting new HELOC applications. (Chase has done the same.)

I have found many lenders have tighter rules for HELOCs in Texas or don't offer them in Texas at all (Penfed), likely due to some particulars of Texas law regulating home lending on homesteads.