[SossMan]

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I am buying a house 70/25/5 with a 25% HELOC that is >100K. Credit is excellent, income easily supports the purchase, full doc, first is a 15-year fixed. They offered 7.25% fixed "5-year" or prime minus one-half on the HELOC. Is that a decent rate? If so, which one is better?

Thanks.

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Both are good rates since you don't have much equity. (LTV>90%)

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Once I sell my current house, I'll have about 35% equity in the new home. What rate drop comes with <90% LTV? Is there another threshold below that at <80% or similar?

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Is there any particular reason you are doing a 70/25 instead of an 80/15? Is your 1st really big ($1.5m+)? Are you planning on paying off the 2nd pretty quickly and there is a better rate on the 1st at 70% LTV? Those are pretty much the only reasons I can think of.

Also, the rate on the 1st on a 15 year fixed should be south of 6% w/ your credit/income profile...if it's not, pm me.