Program Profile
Deephaven Equity Advantage HELOC
A non-QM variable-rate HELOC with a five-year interest-only draw period. Particularly worth comparing when income is the challenge — self-employed borrowers, bank-statement qualification, DSCR, asset utilization, or an investment property held in an LLC.
Program information last reviewed: October 2026. HELOC underwriting guidelines change frequently. Credit-score thresholds, CLTV limits, line amounts, property rules and available terms shown here are educational snapshots and may change before you apply.
Product Structure
Payment type during draw
Interest-only during 5-year draw period
Rate type
Variable (Prime + margin)
Draw period
5 years
Repayment after draw
25-year amortizing repayment (30-year general maturity)
Rate floor / ceiling
Current floor ~4%; current lifetime cap ~18%
Minimum line
$50,000
Maximum line (first lien)
Up to $1,000,000
Maximum line (second lien)
Up to $1,000,000
Initial draw required
80% of line and at least $50,000
Minimum subsequent draw
Generally $5,000
Lien positions
First and second liens
Valuation
AVM (with strong confidence metrics) through ~$400k; full interior appraisal above $400k
Important: Qualifying Payment
Important distinction: Deephaven generally qualifies using a FULLY AMORTIZING payment calculated at approximately the start rate + 2% on the TOTAL credit line. This means Deephaven can have a much tougher qualifying payment than an interest-only HELOC whose underwriting simply uses the interest-only draw payment.
Income Options
- —Full documentation
- —12-month personal bank statements
- —12-month business bank statements
- —DSCR (minimum ~1.10x)
- —Asset utilization (primary residence, ~10% CLTV reduction when asset utilization is primary income method)
Generally 50% maximum DTI. For loan amounts above $500,000: approximately 43%.
Credit & CLTV Summary
August 2026 program snapshot. Approximate ranges — not guarantees. Actual results depend on your specific property, credit profile, and income type.
Owner-Occupied
- — First-lien structures generally range from approximately 70%–80% CLTV depending on score.
- — Qualifying second-lien structures can reach approximately 85%–90% at stronger scores.
- — Most standard executions begin around 660–680+ depending on occupancy and structure.
Second Home & Investment
- — Second homes generally run more conservatively than primary.
- — Investment property generally falls around approximately 65%–75%, depending on full-doc versus DSCR structure and line size.
- — Stronger CLTV and investment executions generally require higher scores.
Lines above $500,000 are subject to more restrictive CLTV limits. Lines up to $750,000 and $1,000,000 are available but with reduced CLTVs — consult for current specifics.
Property Eligibility
Generally eligible
- — SFR
- — PUD
- — Townhome
- — 2–4 units
- — Rural (with overlay)
- — Condo (~80% max CLTV)
- — Non-warrantable condo (~75% max CLTV)
Generally ineligible
- — Condotel
- — Commercial/agricultural
- — Leasehold
- — Land trust
- — Hobby farm
- — Modular
- — Log home
- — Some age-restricted communities
LLC, Seasoning & Listing
LLC Eligibility
LLC vesting is allowed for eligible investment properties. This is a major differentiator — most other programs in this comparison do not permit LLC vesting.
Primary residence: no absolute 6-month requirement, but CLTV is generally reduced by 10% if seasoning is under 6 months. Second home and investment: generally 6 months ownership seasoning required.
Property listed within the prior 6 months is generally ineligible.
Rural overlay: ~70% at 720+, ~60% at 700+, primary residence only, maximum ~$500,000, max 10 acres, full appraisal, no significant agricultural features.
When Deephaven Is Worth Comparing
- —Income is the challenge — bank statements, DSCR, or asset utilization may qualify when traditional income documentation falls short.
- —Investment property held in an LLC — Deephaven and Figure are the only programs in this comparison that currently permit LLC vesting.
- —Self-employed with 12-month bank statements (personal or business).
- —DSCR qualification needed for a rental property.
- —Asset utilization may help on a primary residence.
Main Tradeoffs
- —High qualifying payment — fully amortizing payment at start rate + 2% on the total line, not just the interest-only draw payment.
- —Meaningful ownership seasoning — 6 months for second home and investment; CLTV reduction if primary is under 6 months.
- —6-month listing restriction — property listed within the prior 6 months is generally ineligible.
- —Larger minimum line — $50,000 minimum, with 80% initial draw required.
See What Deephaven Actually Produces for Your Property
The matrix above is a starting point. The actual result depends on your property's AVM, your credit profile and your income type.
Shop My HELOC OptionsMorgan Hardy · NMLS #1906208 · Foundation Mortgage