Your first mortgage stays untouched. Pull from the equity behind it as a fixed lump sum or as a line you draw on, whichever suits the job.
Some homeowners like the first mortgage they already have and want to keep it. That is the point of a second lien. One program I work with runs roughly $25,000 to $750,000, often with no appraisal and no tax returns, at a fixed rate. Terms and eligibility vary by lender and by file. Funding can land in about five days when conditions allow, though your file sets the pace. Tell me what the money is for and I will map the options.
- Combined loan-to-value (CLTV) ratio requirements vary by lender — typically 80–90% CLTV maximum
- Primary residence, second home, or investment property may be eligible (terms vary)
- Credit score requirements vary by lender and product type
- Existing first mortgage must generally be in good standing
- Sufficient verifiable income to support combined debt obligations
- Property appraisal typically required to establish current market value
Frequently Asked Questions
A HELOAN hands you the full amount at closing at a fixed rate, and you pay it back on a set schedule. A HELOC is a credit line you draw from as needed, repay, and draw again during the draw period, usually at a rate that moves. A predictable payment points to the HELOAN. Flexibility points to the line.
No. It records as a second lien behind your first mortgage, so the rate, term, and payment you already have stay exactly where they are. You just add a second payment.
Often, yes. Fewer lenders play in that space, and they tend to want more equity and stronger reserves than they would on a primary home. Send me the address and I will check who is lending.