Don't see your question? Call Matthew at (512) 952-1125 or request a call.
Frequently asked questions
Will checking eligibility hurt my credit?
No. The initial eligibility review uses a soft Experian FICO 9 inquiry that does not affect your credit score. A hard inquiry may be required to complete your application.
How much can I borrow?
Lines are available up to $750,000 based on your home's value, existing mortgage balance, credit, and the combined loan-to-value limit for your property and state. Use the HELOC calculator for an estimate.
Do I need an appraisal?
Lines of $400,000 or less generally don't require a full appraisal and may use an automated valuation (AVM) or broker price opinion (BPO). Larger lines may require a full appraisal.
What credit score do I need?
Generally 600 for primary residences and second homes, and 680 for investment properties.
Do I have to refinance my mortgage?
No. A HELOC is separate from your first mortgage, which stays in place with the same rate and payment.
What states is it available in?
48 states — all except New York and Connecticut. See HELOC by state.
How fast can I get funds?
Timing depends on your documentation, property valuation, title, and state requirements. The digital process and the no-full-appraisal option for lines of $400,000 or less can shorten the timeline. Texas homestead loans have a required 12-day waiting period and a 3-day right of rescission.
Is the rate fixed or variable?
HELOC rates are typically variable, based on an index such as the Prime Rate plus a margin. Ask whether fixed-rate options are available.
What are the payments during the draw period?
Many HELOCs allow interest-only payments on the balance you've drawn during the draw period. Use the payment calculator to estimate.
What happens after the draw period?
You can no longer draw new funds, and the remaining balance is repaid with principal and interest, which usually raises the required payment.
Can I get a HELOC on a rental property?
Investment properties may be eligible with a minimum FICO of 680 and lower CLTV limits. See investment property HELOCs.
Can I get a HELOC on a second home?
Second homes may be eligible with a minimum FICO of 600. See second home HELOCs.
Is HELOC interest tax-deductible?
It may be when the funds are used to buy, build, or substantially improve the home securing the line, subject to IRS limits. Consult a tax advisor.
Are there closing costs?
HELOC costs are usually lower than a refinance but may include origination, valuation, title, and recording fees. Your disclosures list the exact costs.
Can I pay it off early?
Generally yes, though some HELOCs charge a fee if the line is closed within a set period after opening.
Can I use a HELOC to consolidate credit card debt?
Yes — it's one of the most common uses. See debt consolidation with a HELOC.
What if my home is in a trust or is a condo?
Some trusts, condominiums, and manufactured homes have extra requirements or may not be eligible. Ask before applying.
Does applying lock me in?
No. Checking eligibility doesn't obligate you to open a line.
What's the difference between a HELOC and a home equity loan?
A HELOC is a revolving, usually variable-rate line; a home equity loan is a fixed-rate lump sum. See the comparison.
Who will I work with?
Matthew Brown, Senior Loan Originator (NMLS #1254520). Call (512) 952-1125.