Can You Get a Bank Statement HELOC Closed in the Name of Your LLC?

The Quick Read: Not directly. On the bank statement lines Lendmire’s network places, the person who borrows must also hold title, either you personally or your revocable living trust. An LLC on the deed ends the file before anyone reads a deposit. Your LLC’s deposits can still count as income, and the funds can still be moved into the LLC afterward.

• Title is checked first. Bank statements change how income is proven. They do not change who may own the collateral.
• Investment-property lines have firm limits. They cap at 70% CLTV (combined loan-to-value, explained below), a $500,000 maximum line, and a 700 minimum credit score.
• LLCs are not the only entity screened out. Corporations, partnerships, and irrevocable, blind, or land trusts are also ineligible vesting.
• You have four workable routes. Re-title, borrow against another personally titled property, use a DSCR cash-out refinance, or find an entity-level business line elsewhere.
• Availability is narrower than the DSCR footprint. The line is offered in 16 states, while Lendmire’s DSCR investor loans cover 41 markets, including Washington, D.C.

Every figure here is typical guidance from select wholesale lenders. It is subject to lender guidelines and full file review. This is not a commitment to lend.

Key Terms Defined

Six terms come up repeatedly below.

• Vesting is how title is held on the deed, such as an individual, a trust, or an LLC.
• Borrower versus title holder: the borrower signs the loan and owes the debt. The title holder owns the collateral. On these lines they must be the same person or trust.
• Guarantor is a person who promises to repay if an entity borrower cannot.
• Due-on-sale clause is a mortgage term letting the first-mortgage lender demand full repayment if the property is transferred.
• CLTV (combined loan-to-value) is every loan against the property, added together, divided by its value.
• Bank statement income means deposits over 12 to 24 months stand in for tax-return income, under the applicable program and subject to lender guidelines.

What Does “Closed in the Name of an LLC” Actually Mean?

It can mean three different things, and each one gets a different answer. The LLC could be the borrower, the title holder, or just the recipient of the money. Most investors blur these together.

The first two are what the search phrase usually means, and both are dead ends here. The last two are where the LLC still helps you.

Why Does the Network Say No?

This is a product rule, not a legal ban. Nothing in federal law stops an LLC-owned property from securing a credit line. The programs are simply written for individuals.

A home equity line is personal credit secured by property you own. The lender underwrites your credit, your debts, and your equity. It does not underwrite the property’s rent.

That is why the vesting check comes first. A lender sees the LLC on title and stops there. Strong deposits do not rescue the file.

The brokerage’s view across wholesale lenders is consistent on this point. Lines written to an individual are consumer-style products. Lines written to entities are business products with different documents, usually a personal guarantee, and different pricing logic.

DSCR loans are designed for non-owner-occupied investment properties. Because they are business-purpose investor loans, they are reviewed differently from a standard owner-occupied mortgage. That is one reason entity vesting is workable there, subject to lender program eligibility.

Some community banks and credit unions do write business lines against LLC-owned rentals. Those are exceptions with their own terms, and they are not home equity lines in the sense these programs use.

How Do Bank Statements Work When You Own an LLC?

Bank statements document your income. They never decide who may hold title. Lenders review 12 to 24 months of deposits and treat them as a stand-in for tax returns.

Business deposits can count. If your LLC runs a business and you are its owner, those deposits may support your qualifying income. The program looks at what you actually earn, not at where it lands.

The distinction that trips people up is earning LLC versus owning LLC. An LLC whose deposits fund your income is fine. An LLC that owns the property you want to borrow against is not.

Expect reviewers to ask about transfers between personal and business accounts. Commingled accounts make deposit analysis harder. Clean separation helps the file.

Credit and debt still apply. Investment-property lines want a 700 minimum score. Debt-to-income tops out at 50%, and the line is qualified on the interest-only payment for the maximum draw.

Where Does Your Property Stand? A Decision Table

Your current vesting sets your next step. Review each property separately, because only personally titled properties can secure a line.

Land-trust workarounds circulate in investor circles. The network lists land trusts as ineligible vesting, so treat those workarounds as folklore.

What Are Your Routes When the LLC Holds the Deed?

You have four, and the best fit depends on your first mortgage, your debt load, and how much cash you want.

1. Re-title the property to yourself or a revocable trust. Then the line becomes possible. The consequences are real: due-on-sale, insurance, and loss of the LLC’s liability protection.

2. Put the line on a different, personally titled property. This can be a rental you hold personally or your own home. A primary residence can carry a higher ceiling than an investment property: up to 90% CLTV at a 720-or-better profile, and up to 75% CLTV for lines above $500,000 at 700 or better. An investment property stops at 70% CLTV.

3. Use a DSCR cash-out refinance. This generally allows entity vesting, subject to program terms.

4. Find an entity-level business line elsewhere. Expect different documents and usually a personal guarantee.

Here is how the two products most investors weigh compare.

A DSCR loan compares monthly rent to the full monthly obligation: principal, interest, taxes, insurance, and any HOA dues (PITIA). Many select programs start at 1.00 coverage, and stronger ratios open better terms. Clearing 1.00 does not mean positive cash flow, because repairs, vacancy, management, and utilities sit outside the calculation.

On a cash-out, most programs in the network top out around 75% LTV, with about 6 months of seasoning as the common expectation. Most want a score near 660, and 700 or better opens the strongest tiers. Reserves commonly run around 6 months of PITIA, but they vary by lender, leverage, and loan size.

The line fits when your first mortgage is worth keeping and the rental already sits in your name. The cash-out fits when the property is in an LLC, you need more than $500,000, or your personal debt-to-income is stretched.

For the full range of investor loan structures, see Lendmire’s complete DSCR loans guide.

The Re-Titling Trap

Moving a mortgaged rental out of an LLC can trigger the first mortgage’s due-on-sale clause. Federal law makes these clauses enforceable. 12 U.S.C. § 1701j-3 sets the rule, and 12 CFR § 34.5 confirms that due-on-sale clauses are valid notwithstanding state-law limits, except for listed protected transfers.

That protected list covers residential property of fewer than five dwelling units. Examples include creating a subordinate lien and certain transfers into a trust where you remain a beneficiary. A transfer into an LLC is not on that list, per Lendmire’s reading. Enforcement is the lender’s option, so triggering the clause does not mean it will be enforced. The risk is still real.

Three edge cases come up often.

• Free-and-clear rental. With no first mortgage, there is no transfer clause to trip when you deed out of the LLC. You still need to look at insurance, the title policy, and your liability protection.
• Deed out, borrow, deed back. Each transfer raises the due-on-sale question, and the line was underwritten on you as owner. Get written consent from the first-mortgage servicer and the line lender before recording any deed.
• Existing line, then an LLC transfer. The debt stays in your name. The lender could call it due or close the line, because the collateral no longer matches what was underwritten.

Quitclaiming the deed does not release you from a mortgage. Anyone who signed the note stays on it. Re-titling can also affect seasoning, since some lenders count your LLC hold time and others restart the clock from the new deed.

Talk to a real estate attorney and the lender before you record anything. This is the one step in the process that is hard to undo.

Can You Still Get the Money Into Your LLC?

Yes. The debt stays personal, but the cash can reach the LLC afterward as a documented member contribution or a documented loan from you to the LLC. Pick one and write it down.

Keep the paper trail clean. Use a clear transfer record, an operating agreement that reflects the contribution or loan, and separate accounts. This matters for liability protection and for any later lender review.

Understand what you are trading. The line puts your own home or personally titled property at risk. That runs against the asset-protection logic that led you to form an LLC in the first place. Forming an LLC does not shield a home when the line is in your name, because the debt is yours and the collateral is pledged.

Tax treatment can depend on how the funds are used and how the property is held; borrowers should keep clear records and speak with a qualified tax professional before relying on any deduction.

Three Scenarios

A mortgaged duplex held in an LLC. The investor wants cash but wants to keep the LLC. A line is off the table, because the deed is the problem. A DSCR cash-out, at around 75% LTV on a standard rental and subject to program terms, replaces the old first mortgage. The trade-off is giving up that first loan. Leverage, reserves, and pricing vary by lender and program; the final terms follow the full file review.

A free-and-clear fourplex in an LLC. There is no first lien, so deeding out does not trip a transfer clause. The investor can re-title to a revocable trust and apply for a line capped at 70% CLTV on an investment property. The cost is the liability shield and a new insurance review. Many investors in this spot would still compare a DSCR cash-out against it.

One rental in an LLC and one held personally. The personal property can carry the line, which tops out at $500,000 on an investment property. The LLC rental stays untouched. The investor can then contribute the proceeds into the LLC with documentation. This is often the cleanest route when it fits the equity picture.

Common Mistakes

• Assuming strong deposits override title. They cannot. Income and vesting are separate tests.
• Believing the law bars LLCs from equity lines. It does not. This is a product and underwriting rule, and entity lending exists.
• Treating a land trust as a workaround. It is ineligible vesting.
• Re-titling before checking with the first-mortgage servicer. That invites due-on-sale trouble.
• Skipping the exposure rules. A borrower may hold three lines in total, and a borrower with more than 15 financed properties is not eligible.

What to Have Ready

Before a broker can match you with a program, gather these items.

• Deeds or title reports for each property
• 12 to 24 months of personal and business bank statements
• Entity documents: articles, operating agreement, and ownership percentages
• Your first-mortgage statement, if one exists
• A current insurance declarations page
• A clear picture of your other financed properties

Next Step

If you are considering a home equity line and want to see how the numbers work, Lendmire can help you compare HELOC options based on the property, the equity available, credit profile, combined leverage, and your goals. Lendmire is a mortgage broker, not a lender. It shops select wholesale lenders and matches your file to the program that fits. If your rental is already in an LLC, that same conversation can include the DSCR cash-out path.

This article is general information, not legal or tax advice. Consult a qualified attorney or CPA about your own situation before you re-title a property or move funds into an entity.

About Lendmire

Lendmire (NMLS# 2371349) is a mortgage broker. Home equity lines of credit — on a primary residence, a second home or an investment property — are arranged through wholesale lenders in Lendmire’s 16 full-service states, and every line is underwritten by the lender under its program guidelines. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.

References

1. 12 U.S.C. § 1701j-3 (govinfo)

2. 12 CFR § 34.5 (Cornell Legal Information Institute)