Introducing our new lightning-quick (same-week) HELOC loan product. Need cash fast and have a lot of equity in your home? This HELOC product could be right for you!
If you are not already familiar with the concept of a HELOC, this is a financial product that allows you to borrow money against the equity in your home. Some of the most common reasons to take out a HELOC include making home improvements, using the available funds for a down payment on another property, or simply keeping it as a safety net in the case of financial emergencies. Continue reading to learn more about the details.
In addition to being able to close quickly, there are also a variety of other benefits which make our HELOC widely accessible:
-No property appraisal is needed when applying as an automated valuation model is used to calculate the value of your property
-It is available for primary residences, second homes, and investment properties (which is uncommon)
-Additionally, this product can take the 1st, 2nd, or sometimes even 3rd lien position on your home (one of the drawbacks with this product is that in order for the property to be eligible it must be a single unit)
The minimum FICO score requirement is 640. The overall debt-to-income ratio can not exceed 50%. The borrower must also have owned the property for at least 90 days and not completed a refinance in the last 45 days
When it comes time to actually complete your application, your loan officer will send you a link to an online application. This application will start by offering you a variety of different options/terms based on your expected qualifying. Once an option is selected, the applicant will then move on to the next step of supplying documentation in order to complete the qualification. Once everything is uploaded and completed, the closing will be coordinated.
When it comes time to close you will need to sign your loan documents in person with a notary. It is required that you draw the full line amount initially, however, once your loan servicing is set up, you can pay it all back with no prepayment penalties. Typically, the loan servicing takes around 2-3 weeks to be set up.
After closing, you are able to redraw up to 100%. Any subsequent draws will be fixed at the current market interest rate and require you to make fully amortized payments (principal and interest). This draw period will last between 2-5 years depending on the initial term you select (30, 15, 10, or 5 years, respectively).
Don’t let all of this confuse you from utilizing your home’s equity. Give us a call at (760) 930-0569 and one of our knowledgeable Loan Consultants will be happy to assist in answering questions about how you put your home equity to work.