First Time Heloc Loan Hello, I am currently in the process of closing out a HELOC loan on a rental property that I own free & clear. I am hesitant to sign though because of the terms. The overall amount i am looking to borrow is $65k to invest and build a rental ADU property. More info below but does anyone have advice on the terms of the loan? My monthly payment wou…

HELOC in my name?? Never owned a home I was recently signing up for rocket money to check my credit score when it gave me a questionnaire to see if it’s actually me. Everything on it related to me except for one saying I had a HELOC opened in my name around April 2022. I wouldn’t have been 18 until later that year and to this day I don’t have a mortgage or even a rental agreement in…

HELOC for new roof and tree removal? We need a new roof on our house. Last estimate we received was between $14-$18k. Trying to assess the best way to pay for a new roof, and likely a tree removal (it leans directly over our house) and wondering if HELOC is the way forward or if there are options I’m not thinking of? We are a single income household, so money is fairly tight. Certa…

Should they do a HELOC? Okay family has reached out for advice. Off the bat they are horrible with managing their spending, and they beginning to recognize this is a significant issue that needs to be addressed. Currently $10k in personal loan debt at 8% and $20k in credit card debt at 24%. Unable to make a dent as they continue to spend. $5k in per month after taxes…

Thoughts on Pay Down HELOC First-time homeowner and made the mistake of not understanding fully how a HELOC works and the variable interest. HELOC was low for many years and payments were manageable but interest has jumped to 10.25% in the last few years. This year, we have managed to make the required monthly payment and are throwing an additional $1K at it monthly. The …

HELOC Prime Rate + X? What To Look For I’m looking for a HELOC and have a low 800s credit score. Besides any introductory rate, what percentage on top of the current prime rate would be good? I’ve seen anywhere from like prime rate + 0.5% all the way up to prime rate + 5.99%. Thanks 🙂 submitted by /u/Ctallet8

Home Equity Loans and HELOC I currently have a Home Equity Loan on my property. Is it possible to open a HELOC on the same property? Can you have both at the same time? submitted by /u/Be_bold23

Use a HELOC to buy raw land next door? We have a house on some acreage, 7 acres. The lot next door has come up for sale at a decent price, which is about 10 acres. We would be adding the 10 acres, so it would increase the value of our home and land. The lot won’t qualify for a raw land loan since it has an old structure on it. Would it make sense to get a HELOC and use that money to…

HELOC vs. Liquidate Stocks for investment property downpayment Good day all – 30 year old New England Lawyer. I was considering buying an investment property in an area of upstate New York where my family lives. This would be my second investment property for about 200k (I have since sold the first one). I’m wondering the best way to finance my down payment of about 60k including closing costs. My current…

HELOC vs Fixed Equity Hi All, I am trying to determine the best way to borrow money for finishing my basement. I am debating a HELOC at 7% vs a Fixed Home Equity loan at 6%. I intend to borrow around $40,000. I understand with a Fixed Home Equity loan you get all the money upfront and have a fixed payment based on the term of the loan, and that a HELOC your payment v…

Pay down HELOC or let it ride? Rent from property will cover mortgage and HELOC among other costs… should I focus additional funds to pay down HELOC or just let it get paid down per the schedule via rent from tenants? Current financial situation: make $245k/yr, $3,015/mo mortgage at 2.5%, ~$85k HELOC at 8% fixed over 15 years (I have the ability to unlock and relock this rate…

How to refinance a HELOC on investment property Basically what the title says, my father opened a 320,000 HELOC on his and my mothers second house to pay down debt he had accrued in other business ventures. He recently passed and we are only now finding out about it. The rate was variable and since interest rates were low for so long it wasn’t much of an issue but now we are struggling on how…

HELOC for back taxes? So me and my wife recently applied for a HELOC and was approved. Our goal is to put a new roof on our house and potientally pay off back taxes with some of the money. We inherited her grandparents house with the back taxes of 32,000. This is our first house and I’m honestly scared just knowing that debt is there. But would a HELPC be the right c…

Why is paying my HELOC so inconsistent with principal/interest? My minimum monthly payment is like $350 so I’ll typically pay double that. I’ve noticed some months that it eats up $650/$700 in INTEREST – shouldn’t it have paid the $350 (interest on that) and then $350 off the principal?? I have a prime example of a time I paid the minimum followed by $2,000 and a good portion of it was still interest and I …

Should I pay off my HELOC with Emergency Fund? I think I know the answer, but I kind of wanted a second opinion. I have a HELOC (at 9%) with around ~$20k balance (I used it for a large home improvement project). The minimum payment right now is all interest, and it’s about $160/month. I have an emergency fund with ~$22k (at 4.75%, in a HYSA). I have been putting just about everything at the…

Pay off HELOC or Maintain a Small Balance? Hello PersonalFinance! Never been to this subreddit before, but figured I’d pop-in since ya’ll may have the answer to the question I have… So I have a house that doesn’t have a mortgage on it except our HELOC. Long story short, we bought the house in cash, and then took out a $400k HELOC to renovate it. We only used a max of $130k of the line …

Drawbacks of a HELOC? My wife has been interested in opening a home equity line of credit for a little while now. She spoke with a representative from Bank of America about the specifics yesterday and asked me what I thought. We have a significant amount of positive equity in our house, roughly 50%. She was offered a HELOC for roughly 25% of the value of our house. …

My mortgage for my home is on a heloc and the interest is crushing me So weird situation- we were unable to buy a house a few years ago because of the insane cost of living in our area. My parents helped us by getting a HELOC in their names and we used it to build a house costing $250,000 (about 1/4 of what it would have cost us to buy a similar house, avoided the giant down payment for a construction loan) and we…

HELOC Terms Question.. HELP PLEASE Hello, My wife and I have a disagreement with what the terms actually mean. ​ MINIMUM DRAW REQUIREMENT: 1. A minimum initial draw of $25,000 must be maintained for 12 months to keep the discounted rate of .25%, to the variable rate for the life of the loan and to be considered for the promotional rate, if applicable.If this is not maintained, …

I (think I) have a high rate HELOC. Suggestions? I have a HELOC with an interest rate of around 10.5% and a current balance of around 80k. I can’t stand paying interest and will be paying this off in 3 years. Any ideas for ways to reduce the amount of interest paid? submitted by /u/Dee-Minor