You are welcome.
You may be able to get a HELOC at prime without an added margin from a different institution. (Currently 3.25%) perhaps less than prime.
HELOCS are EXTREMELY profitable for them as their current cost of money is 1% or less.
I don’t know if anyone is doing prime minus anymore.
No closing costs and an early termination fee are standard, but can vary, as well as the total % that they will loan to. 75%-80% inclusive of your 1st is probably max these days.
It truly is ‘their money, their rules’ vs. a 30yr Fannie Mae mortgage where almost everybody has the same rules/guidelines for an approval.
If it’s worth it to you, I would call every institution that I could find.
A small local/community bank might be having a special or promotion (such as a lower rate if you have auto withdrawal OR open an account with them)
Because HELOCS are at an adjustable rate, there is ZERO interest rate market risk to the lender (although they still face the risk of depreciation of the property)
Report back with your findings! I will be surprised if BofA has the lowest margin. ,,,HLS
