Is it more difficult to get a HELOC if I don't have a first mortgage? I'm in a position to pay off the first mortgage, but may want a line of credit down the road. Is it just as easy to do this when I don't have a mortgage, or should I secure the line now? The line of credit would be at a different bank then my current first mortgage.
From a lenders perspective, the less debt on your home, the better. The Home Equity Line of Credit would enjoy all the equity the home has to offer and there would be no debt superior to it, and because some state laws restrict the amount of debt a HELOC can reach, if your state has such a law you'll have that much more available credit.
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From a lenders perspective, the less debt on your home, the better. The Home Equity Line of Credit would enjoy all the equity the home has to offer and there would be no debt superior to it, and because some state laws restrict the amount of debt a HELOC can reach, if your state has such a law you'll have that much more available credit.
