In order to obtain a Home Equity Line Of credit - We need a minimum FICO of 680
The HELOC is a 30 year term loan; 10 year draw period, Interest Only payments, monthly adjustment, then goes to a 20 year amortized repayment, P&I payments, annual adjustment. The HELOC is an ARM throughout the entire 30 year term. There is no Pre-Payment Penalty nor any Early Termination Fee. The life cap is 18% and the floor is the start rate. The rates are based off Prime + set Margins. The margins are determined by the Score, and Line Amount. There is an additional .25% hit for Second Homes and Stand-Alone transactions. We qualify using the start rate + 2% amortized over 30 years, P&I payment, with a max 45% DTI on Primary Residences and 43% on Second Homes. Our cost is a flat fee of $325 – Lender Origination Fee and the annual maintenance fee is $125 (billed on the first statement). Also, we do not have a reserve requirement nor do we verify assets. Gift funds are allowed. No title policy required on loan amounts less than $250,000.