Quote:
Originally posted by Nathans_Dad
Ok, I'll look into that, thanks.
Would having a HELOC adversely affect my ability to qualify for the same amount on the new mortgage?
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Yes, is your debt to income ratio is high you would qualify for a lesser loan amount, but there is no way around this unless you sell your current house first. Most people are not borrowing near their maximum so most likely you would be fine.
While applying for a Heloc on the current house would not negatively effect your credit score actually having the HELOC for such a short period of time would most likely effect it negatively.
The best advise is to ask around a few good lenders and stay away from brokers who want anywhere near 1.5 points. As previouslty mentioned Wamu & Countrywide would be good places to
start. Ask them if your credit score is barely enough to qualify for a particular interest rate or if your debt to income is not high enough to get a HELOC on the current house and still qualify for the loan on the new house before you start any other loan process.