Quote from @Dave Skow:
@Michael Lonsdale - thanks ...1) you dont mention the places you tried to get a HELOC ...but I would suggest continue this effort ......some lenders should have flexibility to approve a heloc based on your job and work history ( assuming you have 2 yrs history ??) ...when will you have 2 yrs on present job ? Try the bank you bank with ....try the lender that has your 1st mtg .....try the smaller credit unions and banks in your local area
2) a 90% heloc lender will give you about 70K ....an 85% cltv HELOC will give you approx 45K ...how much are you looking for ?
3) try using a combination of sources to raise the funds needed ...do not do a cash out refinance or sell your home ( unless you plan to sell the home anyways ) ......
Great thoughts here Dave!
I don't have two year history at the job, that actually has been one of the reasons the HELOC has fallen through.
I have tried a few different lenders all with LOW flexibility and they weren't able to make anything work. I realized recently that I need to be working with a broker who has more flexibility and options in the different products they offer. My bank, Ally, doesn't do HELOCS. I am now working with the company that originated my loan. Fingers crossed this gets done. I should have started with this broker sooner.
2) I'm looking to take out as much as possible. Most lenders can only do 75 or 80%. Again, I recently realized I need a broker, not a traditional lender. This was kind of stupid of me.
3) Agreed I shouldn't sell and rates jumping means a refi is off the table. I like the idea of combinations of funding. Hopefully, a HELOC works, @Sara Aviles also gave me some really good insight on other methods of funding.
I really appreciate your input! Very valuable perspective.
