HELOC on a Rental Property in Texas: What Investors Need to Know

Texas Constitution Article XVI, §50(a)(6) — the provision that creates Texas's strict HELOC rules (80% LTV cap, mandatory 12-day waiting period, one-HELOC-at-a-time restriction) — only applies to your primary homestead. If the property securing the HELOC is a non-owner-occupied rental or investment property, those restrictions do not apply.

You're doing a standard home equity line, which means more flexibility on draws, faster closings, and no homestead-specific limitations.

This is one of the most misunderstood distinctions in Texas mortgage lending.