milanista
Active Member
HELOCs make up a large portion of my business, and the overall real-estate derived business at my branch, second to only mortgages of course.
To the person who asked what the difference between a heloc and a secured line of credit the answer is nothing. A heloc is simply one type of a secured credit line, where the property is the security.
HELOC rates are pretty standard across the big 5 banks, and as far as I know most mortgage brokers do not do helocs, unless they work for a bank, meaning they will just pass off the heloc deal to anyone at the branch level, so in a way a mortgage broker can act as your avenue to a heloc. Current rates are prime + 1% at my institution as well as pretty much all the others as far as I know. There is a little wiggle room when it comes to rates, but nearly as much as there is with mortgages due to the already low rate.
I've never activated a heloc on an unbuilt property and as far as I know that is not allowed, but if a client came to me and inquired I would likely just call branch support and get a final answer.
Essentially, if you're looking to invest the equity of your property elsewhere, a heloc is always a good option when the property itself does not make up an overly substantial part of your net worth.
Good luck.
To the person who asked what the difference between a heloc and a secured line of credit the answer is nothing. A heloc is simply one type of a secured credit line, where the property is the security.
HELOC rates are pretty standard across the big 5 banks, and as far as I know most mortgage brokers do not do helocs, unless they work for a bank, meaning they will just pass off the heloc deal to anyone at the branch level, so in a way a mortgage broker can act as your avenue to a heloc. Current rates are prime + 1% at my institution as well as pretty much all the others as far as I know. There is a little wiggle room when it comes to rates, but nearly as much as there is with mortgages due to the already low rate.
I've never activated a heloc on an unbuilt property and as far as I know that is not allowed, but if a client came to me and inquired I would likely just call branch support and get a final answer.
Essentially, if you're looking to invest the equity of your property elsewhere, a heloc is always a good option when the property itself does not make up an overly substantial part of your net worth.
Good luck.
