Question

How long do you have to own a house before you can get a home equity loan?

My husband and I are in the process of buying our first home. We got a great deal on the house at 1/2 the appraised value. How long do we have to own the house before we can take out a home equity loan on the home. We want the money to fix up some things in the house. Thanks!

7 years ago - 11 answers

Best Answer

Chosen by Asker

it's not how long, it's how much equity you have in the house that you borrow against.

7 years ago

Other Answers

I think if you have equity in your home, you do not have a time requirement.

by NJ10 - 7 years ago

Shouldn't matter how long you own it as long as your credit is good and there's equity in the home.

by vinster82 - 7 years ago

As soon as you have equity.

by mightytinner - 7 years ago

no need to wait any specific time...in fact, some lenders will set one up for you at the same time they process the loan used to purchase the property...talk to your loan agent.

by Nancy Kay - 7 years ago

until the home has equity in it

by General C - 7 years ago

When your house is appraised and it can be sold for much higher than your mortgage that is your equatity and you can borrow a percentage of it.

by lilygateau - 7 years ago

Not time limits at all, at the original closing if the property is worth more than the mortgage on it.

by Blitzpup - 7 years ago

2 years..you have to build up equity 1st. don't take out another loan for fixing up the house it is way to early and banks will charge a HIGH interest rate..

Source(s)

by junkman591 - 7 years ago

Why not get the money and fix the house right now! why pay two sets of closing cost?? Why pay the higher interest rate of a home equity loan when you can have a low rate and one payment instead of two? Your mortgage broker should be able to do this without difficulty. If not and you live in Indiana,Mich. Tenn, Fla. Ky E mail me and I'll do it for you, Those are the only states I do business right now, But there are a lot of mortgage folks here that answer questions so there is bound to be one licensed in your area that can help you.

by bobhope1215 - 7 years ago

There are national Lenders who have No Cost HELOC or Fixed 2nd loan programs.

Ask a reputable broker about those programs to avoid paying closing costs. (Citi and GBHE are two of the major providers of these products)

Me2Me2Me3@yahoo.com

Source(s)

by Me2 Me2 - 7 years ago