Can I get a HELOC on a rental or investment property?
Yes, you can get a HELOC on a rental or investment property, but fewer lenders offer it and the terms are stricter than on your primary home. Expect a higher rate, a lower borrowing cap, and tighter credit and reserve requirements, because lenders treat investment property as higher risk.
Many big retail lenders simply do not offer investment property HELOCs. This is where having access to a wide lender network changes what is possible.
How is an investment property HELOC different from one on my home?
The structure is the same revolving line, but the terms are tougher. Lenders usually cap the combined loan-to-value lower, often well below the 80 to 85 percent common on a primary home. They also tend to require a higher credit score, more cash reserves, and charge a higher rate to offset the added risk.
Why do fewer lenders offer these?
Because rental property carries more default risk than an owner-occupied home. If a borrower hits hard times, they tend to protect the home they live in first, so a line on an investment property is more likely to go unpaid. Many lenders avoid that risk entirely, which is why the product is harder to find.
How much can I borrow against a rental?
Less than you could against your primary home, as a rule. The lower CLTV cap means more of the property's value stays untouched. The exact number depends on the lender, the property, your credit, and whether the lender counts the rental income. To understand the cap math, see how much of your equity you can borrow.
Does the rental income help me qualify?
It can. Some lenders will count a portion of the property's rental income toward your ability to repay, which can help you qualify or borrow more. How much they count, and what documentation they require, varies by lender. As Emmett Clark, licensed in 18 states with access to more than 240 wholesale lenders, I know which lenders offer investment property HELOCs and how each one treats rental income, which is often the difference between an approval and a dead end.
Is a HELOC the best way to pull equity from a rental?
Not always. A cash-out refinance on the investment property is the other main route, and which one wins depends on your current mortgage rate and how much you need.
Frequently Asked Questions
Can I get a HELOC on a property I rent out?
Yes, though fewer lenders offer it and the terms are stricter than on a primary home, with a higher rate and a lower borrowing cap.
Why is an investment property HELOC harder to get?
Lenders see rental property as higher risk, since borrowers tend to prioritize their own home if money gets tight. Many lenders avoid the product for that reason.
Does rental income count toward qualifying?
It can with some lenders. They may count a portion of the rent toward your ability to repay, though the rules and paperwork differ by lender.
Is the rate higher on an investment property HELOC?
Usually yes. Lenders price in the added risk, so rates tend to run higher than on a comparable line against your primary home.
Emmett Clark
Licensed Mortgage Loan Officer · NMLS #233747 · 20+ Years Experience
This article has been reviewed for accuracy by Emmett Clark, a licensed mortgage professional serving homebuyers across 18 states including California, Texas, Florida, Arizona, and Colorado. Last updated: July 13, 2026.
About Emmett NMLS #233747
Emmett Clark (NMLS #233747) is a licensed mortgage professional with 20+ years of experience helping families achieve their homeownership dreams. Licensed in 18 states nationwide, Emmett specializes in finding the right mortgage solution for each client's unique situation. Powered by Loan Factory, Emmett provides access to competitive rates and a wide variety of loan programs including conventional, FHA, VA, and down payment assistance programs.
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