Tag: investment property (Page 1 of 4)

HELOC for Primary Residences and Investment Properties Through The Lending Coach

September 14, 2026 / Tom Bonetto / 0 Comments

Times are tough right now, and if you’re feeling the financial pressure, you are not alone.

For many homeowners, home equity is their number one source of wealth…but many haven’t tapped into it yet. My new HELOC offering through Aven provides relief by allowing you access to your home equity quickly and easily.

This HELOC is unique in that the application takes 5 minutes to complete online, does not run hard credit, can be closed in as little as 5 business days, can be a fixed rate or variable, and they can even be used for investment properties vesting in an LLC.

In most cases, an appraisal isn’t needed and income is verified online, even for self-employed borrowers, so it can be done very quickly!

This isn’t a one size fits all HELOC, so it might not move so quickly depending on your circumstance. I’ve had clients close in as little as 5 days, and as long as one month. However, the average time from application to close is around 10 days, assuming initial approval.

So, if you want to keep your current low mortgage rate, here’s a way to inexpensively access your equity!

The Statistics

Believe it or not, U.S. homeowners are sitting on record amounts of equity. Cotality’s latest Home Equity Insight Report shows that borrowers with a mortgage have an average of $310,000 in housing wealth per homeowner. That’s over $11.5 trillion available in the US overall!

“Homeowners have accumulated enormous amounts of equity, but most of it isn’t doing much,” said Thom Malone, principal economist at Cotality. “The borrowers with the most housing wealth are often the least likely to tap it. They tend to have low mortgage rates, strong cash flow, and little reason to move.”

“That means much of the country’s record home equity remains on the sidelines, while the same homeowners continue to benefit from the lower monthly payments that helped create it in the first place.”

The Aven HELOC

Homeowners can now receive a pre-qualification offer in as little as three minutes and funding in as few as five days, compared with the 30 to 45 days typical of a traditional HELOC.

Aven’s income verification procedure replaces many manual and in-person processes that can slow down home equity lending.

At application, only a soft credit inquiry is done, so your credit will not be impacted by completing an application, so there’s no reason not to give it a try!

Secondly, Aven’s product combines a revolving HELOC with optional fixed-rate payment plans called Aven Simple Loans, giving homeowners flexibility in how they borrow and repay.

Some of the features that make this product stand out include:

A Visa card connected directly to your home equity line
Reuse your available credit as you pay down your balance
Make purchases, request cash advances, or complete balance transfers
No annual fee
No repeat draw or balance transfer fees after your initial draw
Choose between a variable-rate revolving balance or fixed-rate payment options
The ability to lock eligible balances into a fixed-rate loan after the draw period
Financing available for qualified owner-occupied homes with combined loan-to-value ratios up to 89%
Debt-to-income ratios up to 55% for eligible borrowers
Flexible qualification for salaried employees, self-employed borrowers, retirees, and many homes held in trust

Every borrower is different, and qualification depends on credit, income, equity, and other underwriting requirements.

You can apply for the Aven HELOC here…

Self Employed Borrowers

Self-employed applicants can now verify business ownership directly inside the application.

The borrower connects their business bank account, and roughly half of self-employed applicants are verified automatically with no documentation required for the verification of ownership.

Applicants who cannot be verified through the connection simply upload a supporting document instead.

Also, income can be calculated directly from your bank account records, though the secured Plaid technology application. So, there’s no need to provide bank statements.

A connected Plaid bank account is now verified by either an address match to the subject property or a name match to an applicant.

Because of the address match, income belonging to a household member who is not on the application can be counted when that person’s bank account address matches the subject property.

Also, Aven now confirms business ownership automatically on a large share of self-employed applications, which takes a document request off your list.

When automation cannot confirm ownership, the borrower uploads a Schedule K-1 or an operating agreement. Those documents establish ownership only. They are not used in the income calculation.

Investment Properties and 2^nd Homes

One feature that truly sets this program apart is that it isn’t limited to your primary residence.

Qualified borrowers may also use this HELOC with investment properties and 2^nd homes — something that’s surprisingly difficult to find in today’s lending market.

While many home equity products are restricted to owner-occupied homes, very few lenders offer flexible HELOC solutions for rental properties and vacation homes.

Also, an Aven HELOC is now able to be vested in an LLC!

For real estate investors and homeowners with multiple properties, this can provide access to equity without having to refinance an existing low-interest first mortgage or sell an appreciating asset.

It’s another way to put the equity you’ve worked hard to build to work for you.

Let’s Talk

Whether you’re looking to access equity in your primary residence, a vacation home, or even an investment property, today’s HELOC options offer more flexibility than many homeowners realize.

As The Lending Coach, my goal isn’t simply to help you obtain a loan. It’s to help you determine whether borrowing against your home’s equity is the right financial move—and if it is, which option best fits your long-term goals.

Sometimes the best financial decision isn’t borrowing more. Sometimes it’s simply knowing your options.

Reach out to me directly—I’d love to talk strategy and explore how we can best take advantage of a HELOC to help you succeed.

If you’d like to apply now for an Aven HELOC, you can do so here…

As always, you can set up an appointment with me here…

The blog postings on this site represent the positions, strategies or opinions of the author and do not necessarily represent the positions, strategies or opinions of Starlight Mortgage. Each loan is subject to underwriter final approval. All information, loan programs, interest rates, terms and conditions are subject to change without notice. Always consult an accountant or tax advisor for full eligibility requirements on tax deductions.

Should I Wait for Mortgage Rates to Drop Before Buying a Home? – Navigating Home Buying in a Mid-6% Interest Rate Market

August 24, 2026 / Tom Bonetto

There’s a lot of energy right now in the media and the real estate world around one question: How do you navigate buying and selling homes (primary residences, second homes, or investment properties) when interest rates are in the mid-6s?

The most common version of that question is: “Should I wait for rates to come down?” The underlying assumption seems plain — lower rates mean lower cost on the loan…but it’s truly not that simple.

I’ve covered this topic before in podcasts and blog posts, but the conversation keeps coming up, so I want to dig into it with a real-world example and some clear numbers.

A Quick but Important Disclaimer

The interest rates I use below are samples only. I am not advertising them, not suggesting they are available today, and not inviting anyone to call me expecting these exact rates. They are simply tools to illustrate how to evaluate the decision of waiting versus buying now.

I’m also using a conventional conforming 30-year fixed loan (Fannie or Freddie) with an 80% loan-to-value ratio, so there is no mortgage insurance in the example. The principles hold either way.

Why the Interest Rate Alone Is Not the Full Story

Most people focus almost exclusively on the rate. That’s understandable, but incomplete.

When I evaluate the true cost of a loan, one of the most important numbers I look at is the principal balance remaining at years 5, 7, and 10 (sometimes year 3 depending on the situation).

Why? Because it is near a statistical certainty that the average loan in the United States is retired—through sale or refinance—somewhere between years 7 and 10. Very few people take a 30-year mortgage all the way to term.

During those early years, the vast majority of each payment is interest. Lenders know this. Most of the public does not.

If we accept that the loan will likely be refinanced or paid off in that window, then the remaining principal balance becomes a critical part of the overall cost equation.

The question is not simply “What is my payment for the next few years?” It is “How do I own this home in the shortest effective duration possible?”

A Concrete Example

Let’s assume a $500,000 home with 20% down—a $400,000 loan.

Buy today at a sample rate of 6.75%. Five years later, the remaining principal balance is approximately $375,503.

Now suppose your gut tells you rates will drop by half a percentage point within a year to 6.25%. You wait.

In that year, the home appreciates 3% (I’ll address appreciation in a moment), so the new purchase price requires a loan of about $412,000.

Buy one year from now at 6.25%. Five years after that purchase (six years from today), the remaining principal balance is approximately $384,549.

From a principal-balance perspective alone, you would have been better off buying today at the higher rate.

What About Home Appreciation?

Across the country, the best current estimates for national average home-price appreciation this year land somewhere in the 1.5%–3% range. Prices have been relatively stable and continue to rise in many markets.

Are there neighborhoods where values are flat or declining? Absolutely—especially certain pockets inside large metropolitan areas. That is why you need a strong real estate agent who can speak in numbers, not just anecdotes. Ask them:

What has this specific property or neighborhood done historically?
What do the data suggest for the next 12 months?

Historically, year-over-year depreciation is rare, but it can happen. Even if you believe values will decline, a competent lender can run the same model with a negative appreciation assumption so you can see the math clearly.

Other Costs That Often Matter More Than the Rate

Waiting for rates also means giving up the negotiating environment we have today. Inventories have improved. The market is slower. Sellers are more willing to offer concessions. Competitive bidding is far less intense than it was a few years ago.

Here’s a practical tip many buyers overlook:

If a seller offers, say, $10,000 in concessions, in many cases, the smarter move is not to use that money to buy down the rate. Instead, have the seller cover a large portion of your closing costs, take a slightly higher rate from the lender (which generates a lender credit), and then use the net cash advantage to increase your down payment or shorten the term while keeping the payment roughly the same.

If you still believe rates will fall later, this approach can leave you in a stronger position to refinance. The decision is nuanced. A blanket “I’m waiting for rates to drop” is, in many (if not most) cases, a costly gut-level choice rather than an analytical one.

happy couple holding and showing a house key

What You Should Do Next

Mortgage and real-estate decisions are subtle. They require a team that can run the numbers.

Work with a real estate agent who can discuss both experience and data on current values, historical performance, and reasonable expectations for the next year.
Work with a lender who can build simple but solid models that incorporate rate scenarios, appreciation (or depreciation), remaining principal balances, closing-cost credits, and term options.

If your lender cannot or will not do that kind of math, find one who will. In a higher-rate environment, the analytical work becomes more important, not less.

When rates were 2.75%, the risk profile was different. Rates in the mid-6s still demand clear-eyed analysis alongside gut feel.

Let’s Talk

I hope this discussion helps you think more clearly about the true cost of waiting.

If you’re trying to figure out whether a particular house or refinance makes sense in this market, do contact me. I’m happy to run the numbers, walk through the trade-offs, and help you see the full picture.

Reach out to me directly—I’d love to talk strategy and explore how we can best take advantage of market conditions to help you succeed.

As always, you can set up an appointment with me here…

Mortgage Rate Shopping Mistakes

May 5, 2026 / Tom Bonetto

Mortgage markets don’t sit still. Rates can shift daily, sometimes even multiple times within the same day.

At the same time, lenders structure loans differently. What looks like a lower rate on one quote may come with higher fees, fewer credits, or stricter terms. Without a consistent framework for comparison, you’re not evaluating apples to apples—you’re juggling entirely different financial products.

a pink piggy bank beside a stack of wooden scrabble blocks

Most homebuyers assume that collecting more mortgage quotes automatically leads to a better deal. On paper, it sounds logical. More options should mean more savings, right?

In reality, rate shopping without a clear strategy often creates confusion, delays decisions, and can even cost you the home you want.

While you’re busy collecting quotes and trying to decode them, the market keeps moving.

Sellers aren’t waiting around for buyers who are still “figuring things out.” In competitive situations, they tend to favor buyers who are fully prepared, pre-approved, and backed by a lender who can move quickly and confidently.

This is where many buyers get it wrong. The best deal doesn’t always go to the person who found the lowest advertised rate.

It goes to the buyer who is organized, informed, and ready to act at the right moment.

The Right Lending Coach

A strong loan officer plays a much bigger role than simply quoting numbers. They analyze your full financial picture, guide you through different loan structures, and help you decide when to lock your rate based on market conditions.

That kind of guidance can make the difference between securing a home or losing it to another buyer.

Instead of chasing the lowest rate blindly, it’s more effective to focus on the overall strategy behind your loan. That includes timing, structure, and execution—not just the headline number.

Common Rate Shopping Mistakes:

Comparing inconsistent quotes – Different lenders present rates, fees, and credits in ways that aren’t directly comparable, leading to misleading conclusions.
Focusing only on the interest rate – A slightly lower rate can be offset by higher closing costs or less favorable loan terms.
Waiting too long to decide – Delays can cause you to miss favorable market conditions or lose out in competitive home-buying situations.
Ignoring lender reliability – A low quote doesn’t help if the lender can’t close on time or communicate effectively.
Overlooking rate lock timing – Locking too early or too late without guidance can impact your final cost.
Spreading your efforts too thin – Working with too many lenders at once can create unnecessary complexity and slow you down.

A Smarter Approach

Work with a trusted loan officer who understands your full financial picture
Focus on total loan cost, not just the rate
Be ready to act quickly when the right opportunity appears
Prioritize reliability and execution over minor rate differences

At the end of the day, buying a home isn’t about winning a rate-shopping contest. It’s about securing the right loan, at the right time, with a professional who can help you navigate the process smoothly.

The lowest number on paper doesn’t always win. The best-prepared buyer does.

Let’s talk. Reach out directly—I’d love to run your personalized scenarios and explore how we can best take advantage of market conditions to help you succeed.

As always, you can set up an appointment with me here…

Navigating Real Estate Uncertainty: Proven Strategies for Buyers, Sellers, and Investors

March 4, 2026 / Tom Bonetto

Real estate markets move in cycles, and uncertainty is a natural part of that rhythm. Headlines may highlight shifting rates, changing home prices, or economic questions, but uncertainty shouldn’t mean inactivity.

In fact, some of the best opportunities emerge when others are hesitant. For buyers, sellers, and investors who take a thoughtful, strategic approach, today’s market offers meaningful advantages.

Buyers

For buyers, one of the most important realities to understand is competition. When the market feels overheated, bidding wars become common and emotions drive pricing.

In a more balanced or uncertain environment, competition often softens. That can translate into fewer multiple-offer situations, more reasonable pricing, and stronger negotiating power.

Buyers may secure seller concessions, rate buydowns, repair credits, or flexible closing timelines that were nearly impossible to obtain in ultra-competitive markets.

Another advantage of buying now is price stabilization. In uncertain markets, home price growth tends to moderate. That creates breathing room for thoughtful decision-making.

Instead of rushing into a purchase out of fear of being priced out, buyers can evaluate properties carefully and make confident, informed offers.

Over time, real estate has consistently proven to be a strong wealth-building asset, particularly when held for the long term. Find out more on that here…

Mortgage Rates

Interest rates are always a central concern, but perspective matters. Rates fluctuate over time, and what feels elevated compared to recent historic lows may still be reasonable in a long-term context.

More importantly, financing is not permanent. A home purchase is long-term; a mortgage is a financial tool that can be refined. Buyers who purchase now can often refinance later if rates improve, but they cannot go back in time to purchase at today’s home values if prices rise again.

Find out more on that here: Marry the House but Date the Rate

Investors

Investors may find especially compelling opportunities in times like these.

When fewer people are aggressively competing for properties, investors can identify assets with stronger cash flow potential and better long-term appreciation prospects. Rental demand often remains steady, particularly as some potential buyers pause their plans.

This dynamic can create favorable conditions for those focused on income-producing real estate.

Sellers

For sellers, uncertainty does not eliminate opportunity. It simply shifts strategy.

Proper pricing, thoughtful presentation, and strong marketing become even more important. Serious buyers remain active in every market cycle. When a home is positioned correctly, it attracts motivated buyers who are ready to move forward.

Sellers who understand current conditions and adapt accordingly can still achieve excellent results.

The Right Strategy

Financing strategy is where real clarity can make a difference.

Creative solutions such as temporary rate buy-downs, adjustable-rate products for shorter holding periods, or structured refinance plans can significantly improve affordability and flexibility.

When financing is approached strategically rather than reactively, buyers and investors gain control over their long-term financial trajectory.

It is also important to remember that life events do not pause for market cycles. Families grow, careers change, relocations happen, and investment goals evolve.

The right time to buy is frequently when the property fits your needs, the numbers make sense, and you have a solid financial plan in place.

Waiting for a “perfect” market often means delaying personal and financial progress.

In Conclusion

Uncertainty rewards preparation and guidance. With a clear strategy, realistic expectations, and thoughtful financing, today’s market can present exceptional opportunities.

Buyers can negotiate more effectively, sellers can stand out with the right positioning, and investors can secure long-term assets with confidence.

Real estate remains one of the most powerful tools for building wealth, and with the right coaching and planning, now can be an excellent time to move forward.

If you’d like help translating these ideas into a personalized strategy, a focused conversation can help clarify next steps — based on your goals, timeline, and financial picture.

Do reach out directly to me to begin crafting your plan!

As always, you can set up an appointment with me here…

Special Round-Table Podcast | The State of Today’s Real Estate Market

March 18, 2024 / Tom Bonetto

I was invited to join a panel of industry experts and discuss the state of today’s real estate market.

We discuss the industry challenges, mortgage rates, and have some thoughts about what might happen in the future, as well.

Here’s the link:

Do check it out, as I think you will gain a few insights and enjoy it!

The blog postings on this site represent the positions, strategies or opinions of the author and do not necessarily represent the positions, strategies or opinions of Guild Mortgage Company or its affiliates. Each loan is subject to underwriter final approval. All information, loan programs, interest rates, terms and conditions are subject to change without notice. Always consult an accountant or tax advisor for full eligibility requirements on tax deductions

Tag: investment property (Page 1 of 4)