Wholesale lender Homepoint launched its new Home Equity Line of Credit in 38 states and Washington, D.C., available through its network of mortgage broker partners. The company plans to expand the list of HELOC-eligible states in the coming months.
The Homepoint HELOC is essentially a 100% digital lending platform experience from application to closing, requiring minimal uploading of income and asset documents. Depending on a borrower’s credit attributes, Homepoint may be able to provide same day approval and fund a HELOC within five business days of final approval.
The Homepoint HELOC is a standalone line of credit, with a fixed interest rate determined at each draw calculated using the stated Index, plus a margin. It enables eligible borrowers to access $20,000 to $400,000 of their home’s equity as a line of credit with either a 5-, 10-, 15- or 30-year term and 2- to 5-year draw terms, while maintaining at least 15% equity in their home. There is no pre-payment penalty, and it’s available on single unit owner-occupied properties, single unit second homes and investment properties.