Can I get a HELOC if I am self employed less than 2 years?
Wednesday, 25. August 2010
My wife and I are both self employed less than two years, and we were told that makes it impossible for us to get a Home Equity line or loan given what we want and where are scores are (we want about 85% LTV and our middle scores are between 620-650). I was told by a loan guy at a major bank that this would have been possible several months ago, but since the real estate market went downhill restrictions are much tighter. It is important to note that we are both 1099 workers with large companies, not people who started up a new buisness (although we are technically self employed). The man I spoke to said that he understood the distinction but the underwriters are very rigid about the rule. He said that if I really wanted the loan I could go out and get a W-2 job and he could get me approved as soon as I got my first check. Any advice?
katb Says:
I would speak to several banks, you might be able to find one that can help. On the other hand, if could wait a while until you had been employed for 2yrs or until the market changes again you will get a better interest rate.