HELOC: Flexible Access to Your Home’s Equity
Access your home's equity as a flexible line of credit. Use it when you need it, pay it back on your terms.
A Home Equity Line of Credit (HELOC) turns your home's equity into a revolving credit line. Draw funds when you need them for home improvements, debt consolidation, education, business investment, or any other purpose — and only pay interest on what you use.
80%–90%
MAX COMBINED LTV
680+
RECOMMENDED CREDIT SCORE
5–10 yr
TYPICAL DRAW PERIOD
Interest Only
DRAW PERIOD PAYMENTS
What Is a HELOC?
A HELOC is a revolving line of credit secured by your home equity. Unlike a cash-out refinance — which gives you a lump sum at a new fixed rate — a HELOC functions like a credit card. You draw funds as needed during the draw period (typically 5–10 years) and repay during the repayment period (typically 10–20 years).
HELOCs typically have variable interest rates tied to the prime rate. Some lenders offer fixed-rate conversion options on all or part of your balance.
Colorado homeowners with significant equity have a powerful financial tool available. At Integrity Mortgage Advisors, we find HELOC programs with the best rates, highest credit limits, and most favorable terms for your situation.
HELOC Requirements
Combined LTV – Up to 90%
Your first mortgage + HELOC combined cannot typically exceed 80–90% of appraised value.
Home Equity – At least 20%
You need at least 10–20% equity remaining after the HELOC is in place.
Property – Primary or 2nd Home
Most HELOC programs are for primary residences. Some lenders offer HELOCs on second homes.
Credit Score – 680+ recommended
Most HELOC lenders want 680+. Best rates and limits at 720+.
Income – Verified
Standard income and employment verification required. DTI must support both mortgages.
Debt-to-Income – 43–45% max
Lenders look at total debt including the new HELOC payment at full draw.
Advantages of a HELOC
Flexible Access — Draw exactly what you need when you need it. No obligation to use the full amount.
Interest-Only During Draw Period — Many HELOCs require only interest payments during the draw period, minimizing your cash outlay.
Lower Rate Than Credit Cards — HELOC rates are secured and significantly lower than credit card or personal loan rates.
Keep Your First Mortgage — Unlike a cash-out refinance, a HELOC leaves your existing mortgage untouched — ideal if your first mortgage has a low rate.
Reusable Credit Line — As you pay down the balance, you can draw again — making a HELOC ideal for ongoing or staged projects.
Potential Tax Benefits — Interest on a HELOC may be tax-deductible when used for home improvements. Consult your tax advisor.
How to Get a HELOC
01
Equity Analysis
We review your current mortgage, estimated home value, and credit profile to determine your available equity and estimated credit line amount.
02
Shop Lenders
We compare HELOC rates, draw periods, repayment terms, and fees across multiple lenders to find the best fit for your goals.
03
Application and Appraisal
We submit your application and coordinate the home appraisal (required to establish current value). Most HELOC close in 20–30 days.
04
Draw and Use
Once funded, your credit line is available. Draw via check, online transfer, or HELOC card depending on the lender. You only pay interest on what you draw.
Ready to Get Started?
No cost. No commitment. Get pre-approved the same day.