I’m taking a HELOC out on my primary residence to purchase a rental.

Does it make sense to take out a HELOC for 80K.

hi,We purchased an investment property using HELOC under our name.

Take the time and have some patience/Selling stuff that I own until I get the money.2) I don't own a home, but I do have family members that may be able to do something with a "HELOC" (Something I Just learned about but I am looking into more)3) Does anyone else have any better/different suggestions?

Find a lender who will give you a HELOC on primary usually 80% of equity.More difficult find a lender who will lend on non primary - Credit Unions are what i use NFCU some offer 60-80% of equity on non owner occupied properties with 1-3 years rental history.

We are funding with a HELOC but quickly taking a conventional loan to payback the HELOC.

I bought it with hard money and a HELOC, so technically I won't have any money in the deal once I refinance it!

ScenarioChicago: we buy 2 bed, 1 bath (900 square feet) in a decent neighborhood (Rogers Park) at $125,000 at $25,000 down (the 20% down is cash, the remaining is financed).We add a half bath to force equity and everything goes wrong, costing us $25,000 against our current home's Heloc (25k seems to be the higher end of the cost of adding a bathroom according to a google search).

My current bank that does my mortgage said they probably would not allow a heloc on my home if it is a rental, so they suggested I set it up now, before I move out.My question is, if I wait and try to apply for a heloc later, in a 4-5 months when it is a rental, would ALL banks probably have this policy against doing a heloc on a rental?

The source of funds for the purchase transaction must be documented (bank statements, personal loan documents, HELOC on another property).