Piggyback HELOC
Buying a home and want a second line at closing? At least one HELOC we offer opens a purchase line behind your conventional first mortgage, up to $500,000, with a score of 700 or higher.
What a piggyback HELOC requires
Each item below is a requirement of the piggyback HELOC we offer.
- A purchase of a primary residence. Second homes and rentals are not eligible.
- A credit score of 700 or higher, or 720 for a Florida condo.
- A conventional first mortgage, eligible for Fannie Mae or Freddie Mac, closing at the same time.
- Debt-to-income of 45% or less, and 2 months of reserves on lines over $250,000.
- A line from $25,000 to $500,000, drawn in full at closing.
- A home on 10 acres or less, outside Texas, Alaska and Hawaii.
Opens with your purchase
Lines up to $500,000
One to four units
Condos and PUDs eligible
Non-occupant borrowers allowed
No reserves on smaller lines
What Is A Piggyback HELOC?
A home equity line that closes with your purchase, sitting in second position behind a conventional first mortgage.
A piggyback HELOC is a second line of credit that closes at the same time as your purchase. Your first mortgage is a conventional loan, and the HELOC sits behind it in second position. At the program we offer, the line runs from $25,000 to $500,000 and is drawn in full at closing.
It is for a primary residence only: a single-family home, PUD, condo or 2 to 4 unit home. You need a 700 credit score, or 720 for a Florida condo, and debt-to-income of 45% or less. Your first mortgage follows the rules of a conventional loan.
Some limits are firm. The line cannot sit behind a 40-year or negative amortization first mortgage, a third lien is not allowed, every borrower must take title, and Texas, Alaska and Hawaii are excluded. Lines over $250,000 need 2 months of reserves. You also open a credit union membership account, at no added cost.
Why use Saxton for a piggyback HELOC
This page is for home buyers who want a second line of credit to close alongside a conventional first mortgage on the home they will live in.
Closes With Your Purchase
The line opens at the same closing as your conventional first mortgage.
Lines Up To $500,000
Piggyback lines run from $25,000 to $500,000 with a 700 score.
Two To Four Units Work
Single-family homes, PUDs, condos and 2 to 4 unit homes are eligible.
Family Can Co-Borrow
Non-occupant borrowers are allowed on the primary residence piggyback.
Reserves Only On Bigger Lines
Lines of $250,000 or less need no reserves. Larger lines need 2 months.
Limits Stated Up Front
Primary homes only, purchase only, no Texas, Alaska or Hawaii, and the full line is drawn at closing.
Hear From Homeowners Like You
Frequently Asked Questions
Straight answers about piggyback HELOCs.
A home equity line of credit that closes with your purchase and sits behind a conventional first mortgage. At the program we offer, lines run from $25,000 to $500,000.
700 or higher, or 720 for a condo in Florida.
No. The piggyback HELOC we offer is for a primary residence purchase only.
No. The program places the line behind a conventional first mortgage from another lender, and that loan must be eligible for Fannie Mae or Freddie Mac.
Non-occupant borrowers are allowed on the primary residence piggyback, and every borrower must take title at closing.
On lines of $400,000 or less, an automated value with a property condition report can be used, and the review starts with the simplest allowed method before moving to the next.
Yes. It is not offered in Texas, Alaska, Hawaii or U.S. territories.
Find out what you qualify for
Tell us about the home you are buying and we will show you how a piggyback line fits with your first mortgage.
Get Pre-Qualified- Consumer Financial Protection Bureau, home equity loan compared with a HELOC
- Consumer Financial Protection Bureau, mortgages
Loan amounts, rates, terms, and eligibility are subject to credit approval, asset and income verification, appraisal, and program guidelines. Draw requirements and variable rate terms apply. Program availability varies by state. Not all applicants will qualify. Saxton Mortgage, LLC is an Equal Housing Lender.