To open a HELOC you typically need 15–20% equity remaining after the line (a combined loan-to-value around 80–90%), a credit score usually 680+, a manageable debt-to-income ratio, and verifiable income.
Equity and CLTV
Lenders cap your combined loan-to-value (CLTV) — your first mortgage plus the new HELOC divided by home value — commonly at 80–90%. The more equity you have, the larger the line. On higher-value California homes this can mean a substantial credit line.
Credit, income & DTI
Because a HELOC adds a payment, lenders verify income and check your debt-to-income ratio and credit (often 680+ for the best terms). Self-employed borrowers can often qualify with bank-statement style documentation — ask us about options.
| Requirement | Typical |
|---|---|
| Equity / CLTV | ~80–90% max CLTV |
| Credit score | ~680+ for best terms |
| Income | Verifiable; DTI reviewed |
| Property | Primary, second, or investment (varies) |
Frequently asked questions
How much equity do I need for a HELOC?
Usually enough to keep combined loan-to-value at or below 80–90%. More equity means a larger available line.
What credit score do I need?
Many lenders look for 680+ for the best rates, though options exist lower. We shop multiple lenders to fit your profile.
Can I get a HELOC on a rental property?
Yes, some lenders offer HELOCs on investment properties, typically at lower CLTV and higher rates. We can source these.
Save Financial is a California-licensed mortgage brokerage (NMLS #377740, DRE #01875766). Figures are illustrative for 2026 and not an offer of credit.