Qualifying for a HELOC in Texas comes down to four things: your credit score, how much equity you have, your ability to repay, and the property itself. Here are the specific requirements for Best Suited Mortgage's Texas HELOC program.
Requirements at a glance
| Primary residence (homestead) | Second home / investment | |
|---|---|---|
| Minimum FICO | 600 | 640 |
| Maximum CLTV | 80% (Texas homestead cap) | 90% at 720+ FICO 85% at 700–719 75% at 640–699 |
| Line amount | $25,000 – $750,000 | $25,000 – $500,000 |
| Draw period | 3 years, interest-only on the amount drawn | |
| Drawn at closing | 75% of the line | |
| Ownership | Property in your personal name (no LLC or trust) | |
| Location | Texas properties only | |
| Typical close | 12–15 days | |
Credit score
The minimum credit score is 600 for a primary residence and 640 for a second home or investment property. Your score also affects your rate, and on non-homestead properties it sets your maximum CLTV. We review your full credit profile, not just the number. Checking your rate uses a soft pull, so it won't affect your score.
Combined loan-to-value (CLTV)
CLTV is your first-mortgage balance plus the HELOC line, divided by the home's value. On a Texas homestead, it's capped at 80% by the state constitution — see Texas HELOC rules explained. For example, on a $500,000 home with a $250,000 mortgage, 80% of value is $400,000, leaving room for a line of up to $150,000.
Second homes and investment properties aren't homesteads, so the 80% cap doesn't apply. They can go up to 90% CLTV with a 720+ FICO.
Income and ability to repay
Like any mortgage-secured loan, a HELOC requires income verification so the lender can confirm you can handle the payment alongside your other debts. What's needed depends on how you earn your income; your loan officer will tell you exactly what your file needs.
Documents to have ready
Having these on hand helps keep your closing in the 12–15 day range:
- Government-issued photo ID
- Income documentation (your loan officer will confirm which documents apply to you)
- Your most recent first-mortgage statement
- Homeowners insurance declarations page
- Property tax and HOA information, if applicable
- For rental properties, current lease information
Property requirements
- The property must be in Texas.
- It must be held in your personal name at closing — not an LLC or trust.
- The property is valued as part of underwriting to confirm the CLTV.
- On a homestead, each owner and each owner's spouse must consent to the lien under Texas law.
Next steps
If you meet these requirements, the fastest way to see where you stand is the HELOC rate pricer. Investors can start with the investment property HELOC page, and second-home owners with the second home guide.
See your numbers
Check your Texas HELOC rate in minutes.
Soft credit pull only for your rate check.