HELOC: Banks Hate Me and HELOC!! I'm going to share why Banks hate lending HELOC, expose what Banks do AFTER they lend you a HELOC as well as why banks hate me. We at The Kwak Brothers are big fans of HELOC and using it to paying off your mortgage faster as well as investing in real estate with it. But when I often share our strategies, people ask me, "How come banks don't know about this strategy?" or... "Sam, I asked my bankers about this and they have no idea what I'm talking about... You know, the whole thing about using a HELOC to paying off your mortgage faster?" In this video I am going to explain WHY banks hate me for using a HELOC 😃 Thanks for Subscribing & Liking our Video! The Kwak Brothers are millennial real estate investors who have acquired over 82 Units of Rental Units and have raised over $20,000,000 of capital for their real estate deals. They are based out of the Chicago-land area and they are dedicated to helping hard-working people become financially free real estate investor! They specialize in owner financing acquisition and raising capital. They are the creator of the FORCE Strategy (Find the deal, Owner Finance It, Raise the Capital, Cashflow It, and Expand your Financial Freedom) 📧 Get Our 1:1 Real Estate Investing Coaching and Mentoring: https://thekwakbrothers.com/thekwakbrothers ⌨️ FREE 7 Day Trial To PropStream Real Estate Investing Software: http://reisoftware.thekwakbrothers.com 📊 Pay Off Your Mortgage In 5-7 Years (On Average): https://debtfreeaccelerator.com/video 💻 JOIN OUR FREE FACEBOOK GROUP FOR LANDLORDS & PASSIVE INCOME: https://www.facebook.com/groups/bestreigroup 📡 PROTECT YOUR ONLINE DATA AND ACTIVITY WHILE CLOSING DEALS AND GENERATING NEW LEADS WITH NORDVPN: https://go.nordvpn.net/aff_c?offer_id=15&aff_id=40858 🔊 Our Podcast Channels: 📻First Deal Experience: 🔹Spotify: https://open.spotify.com/show/7pnHJSNl7vPVFzq69IzC6B 🔹iTunes: https://podcasts.apple.com/us/podcast/first-deal-experience/id1282240923 📻Landlording Automated: 🔹Spotify: https://open.spotify.com/show/1LTAeRg2ZAT1ATI1mdtWM0 🔹iTunes: https://podcasts.apple.com/us/podcast/landlording-automated-podcast/id1504548975 GET SOCIAL WITH US: 📣Facebook: https://www.facebook.com/thekwakbrothers/ 📣Instagram: https://www.instagram.com/thekwakbrothers/ 📧 Hire the Kwak Brothers to Speak: info@thekwakbrothers.com #heloc #helocstrategy #helocrates Qualifying mortgages are your typical 30 year conventional fixed mortgages. You know, the stuff that everyone's getting. These types of loans are regulated and often backed by the Federal Government, specifically the CFPB. The CFPB creates guidelines as to what FICO score is needed for the loan, what debt-to-income ratio is required, and what required disclosure needs to be given. A Non-Qualifying mortgage on the other hand follows a different set of guidelines. Some non-qualifying mortgages may overlook credit or even debt-to-income ratio. Some Non-QM may follow similar guidelines as those that are QM. You'll typically see higher interest rates on these types of loans as they do carry a higher degree of risk when following more loose guidelines. Most HELOC fall into that category of the Non-Qualifying mortgage. This is why I often say that not all HELOC are created equal. Some banks follow different guidelines or have their own guidelines - this is why not all HELOC will work when it comes to using them to pay off your mortgage faster. But without creating more mortgages at the bank level, there won't be as many of these MBS that the investment bankers can sell to the market, right? Remember the part about Wall-Street bankers giving out incentives to mortgage brokers and banks to create more Qualifying mortgages? Well when it comes to giving out HELOC, the commission in selling HELOC is close to ZERO. Can you see why banks hate me? ======================== ---DISCLAIMER--- The suggestions, advice, and/or opinions that are given by Sam Kwak (The Kwak Brothers) are simply opinions. There are no guarantees of set outcomes. Listeners, guests, and attendees are advised to always consult with attorneys, accountants, and other licensed professionals when doing a real estate investment transaction. Listeners, guests, and attendees are to hold Sam Kwak, Novo Elite, Inc. and the Kwak Brothers brand harmless from any liabilities and claims. Not all deals will guarantee any profit or benefits. Listeners, guests, and attendees are to view and listen to all materials and contents furnished by the Kwak Brothers as a perspective based upon experience.