HOME EQUITY
HELOCs & Second Mortgages
Access your home equity while keeping your current first mortgage and its low rate.
What's your home worth? Start with a free estimate.
Estimate only, not an appraisal.
OVERVIEW
Tap equity without touching your first mortgage
If you have a low rate on your current mortgage, refinancing the entire balance just to get cash may not make sense. A home equity line of credit (HELOC) or a closed-end second mortgage lets you borrow against your equity while your first mortgage stays exactly as it is.
Homeowners use equity for renovations, debt consolidation, education, a down payment on another property, or to buy a new home before selling the current one.
At a glance
- Keep your existing first mortgage and rate
- HELOC: borrow as needed, often interest-only during the draw period
- Fixed-rate second mortgage: one lump sum and a fixed payment
- Combined loan-to-value limits typically up to 80%–90%
- Primary residences and, with some lenders, second homes and rentals
Who it’s a good fit for
- Homeowners with a low first-mortgage rate
- Owners planning renovations
- Buyers who need funds to buy before they sell
- Borrowers consolidating higher-interest debt
KEY FEATURES
How it works
HELOC
A revolving line of credit. Draw what you need, repay, and draw again during the draw period. Rates are usually variable.
Fixed second mortgage
A one-time lump sum with a fixed rate and predictable payment — useful for a single large expense.
Bridge to your next home
Use equity in your current home toward the down payment on your next one. See buy before you sell.
Non-QM equity options
Bank statement second mortgages can help self-employed owners qualify.
GENERAL GUIDELINES
What lenders typically look at
- Sufficient equity — combined loan-to-value usually 80%–90% or less
- Credit score that meets lender minimums
- Income documentation and debt-to-income review
- Appraisal or automated valuation
Guidelines vary by lender and change over time. Alex will review your specific situation against current program rules.
GOOD TO KNOW
Things to consider
- Your home secures the loan — borrow responsibly
- Variable HELOC rates can rise
- Closing costs and annual fees vary by lender
- Compare against a cash-out refinance; Alex can show both
Run your numbers first
Use the Amortization Calculator to estimate your payment and see how your balance pays down. Then tap Check My Options and Alex will confirm real figures for your situation.
FAQ
Common questions
HELOC or cash-out refinance?
If your current rate is lower than today’s rates, a HELOC or second mortgage often costs less overall because you keep your first mortgage. If your rate is higher, a cash-out refinance might be better.
How much can I borrow?
Typically up to 80%–90% of your home’s value minus your current mortgage balance, depending on the lender, credit and property.
Can I get a HELOC on a rental property?
Some lenders offer equity products on investment properties, usually with lower maximum loan-to-value limits.
GET STARTED
See what you may qualify for
Share a few details and Alex will follow up personally to review your options — usually the same business day. No obligation, and requesting information does not affect your credit.
- Shop 300+ wholesale lenders through NEXA Mortgage
- Clear answers on rates, costs and cash to close
- Pre-approval decisions typically within 24 hours of a complete application
By submitting, you agree to be contacted by phone, text or email about your inquiry. Message and data rates may apply; reply STOP to opt out of texts. Consent is not a condition of any loan. This is not a loan application — please do not include Social Security numbers, account numbers or financial documents. See our Privacy Policy.
EXPLORE MORE
Related loan programs
RefinanceBuy Before You SellReverse MortgagesNon-QM LoansAll loan programsThe mortgage process
Not a commitment to lend. Not all applicants qualify. Programs, rates, terms and availability may change without notice. All loans are subject to credit, income, asset and property approval. H. Alex El-Ali, NMLS #1513750, FL LO125697 | NEXA Mortgage, LLC, NMLS #1660690. Equal Housing Lender.
Ready To Take The Next Step?
Talk with Alex about your goals — no pressure, no obligation.