Quote:
Originally Posted by geos
Both matter. As well, the utilization matters (if you've drawn $20k on a $50k HELOC it's more favourable than say $45k on a $50k HELOC).
You'd be surprised how much a bank will care if you have $25k on each versus $50k on one and $0k on the other. Bizarre and a weird part of their risk calculations, but it does matter. You want as low of a utilization rate on both of your HELOCs. You could have the same amount of debt, but if you've nearly maxed out any line, it's a concern for a bank.
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Yeah, and both are really high in utilization because we've pulled money out of each to buy other properties.. so while the mortgages on those properties look great, the two helocs look pretty bad from that point of view.