Express HELOC

• Loan/Line Amount: Minimum of $100,000, maximum of $250,000. 

• Initial utilization requirement: Borrower must draw at least 75% of the line amount (or $100,000 — whichever is greater) at origination. 

• Draw Terms: Two available draw-period options: 3 years or 10 years. 

• Maturity: 30-year loan term. 

• Interest accrual: Daily accrual based on “actual/actual” method (actual days in month/year). 

• Adjustable Rate Structure: The HELOC is an ARM; interest rate tied to a published index + margin. 

• Rate Caps and Floors:

  • Life-of-loan rate cap: 18% (unless state/regulatory limits are lower) 

  • Rate floor: 4% (i.e., rate will not go below that)

Occupancy Types

The program supports different occupancy types (primary residence, second home, investment) and various property types, subject to conditions. 

Credit Score & LTV / CLTV / HCLTV Thresholds

• For condos in Florida: Max CLTV is 75%, and only FNMA-approved projects within last 18 months are eligible. 

• All loans must meet applicable occupancy, transaction purpose, property type definitions per Fannie Mae / Freddie Mac standards. 

Property Types — eligible vs ineligible

Eligible:

• 1-unit single family (attached or detached)

• 2–4 unit properties (with borrower occupying one unit)

• PUDs, warrantable condos, certain 2–4 unit setups 

Ineligible:

• Condotels / condo-hotels

• Manufactured homes, mobile homes

• Leaseholds, unimproved land, more exotic property types (log-homes, etc.)

• Properties listed for sale recently (last 6 mo for refinance)

• Eligible borrowers: U.S. citizens, permanent resident aliens, non-permanent resident aliens (with valid employment/residency documentation), visa holders, asylees, DACA — provided valid paperwork. 

• Ineligible: Entities such as LLCs, corporations, partnerships; foreign nationals primarily living/working outside U.S.; borrowers whose income isn’t expected to continue 3+ years. 

• Income documentation: 2-year history for employment income; follow applicable AUS (Automated Underwriting System) guidelines if used. 

• Asset & reserve documentation must follow the AUS (if used) or otherwise standard valuation and reserve rules. 

• Property valuation: The program supports use of an Automated Valuation Model (AVM) — if provided, must meet defined standards (FSD ≤ 0.20, approved RA provider, etc.). 

• For AVM-based origination, secondary valuation is required: a second AVM — if secondary value is lower by more than 10%, loan may become ineligible (unless lower value is used).

• Minimum draw requirement at origination (75% utilization) — not a “pure line” where borrower draws only what they need. 

• A 90-day “lockout” applies post-funding — during which additional draws, full repayment, or refinancing are prohibited. 

• Derogatory credit events (bankruptcy, foreclosure, forbearance, etc.) have waiting periods. E.g. for Chapter 7/11 bankruptcy — 4 years (or 2 years with extenuating circumstances) from discharge/dismissal. 

• For condos in certain risk areas (e.g. Florida, FEMA disaster zones), additional valuation or inspection requirements apply (e.g. Post-Disaster Inspection). 

• The plan must be structured for repeated draw transactions, not a one-time cash-out event.