One HELOC facility for multiple funding needs

Some homeowners have more than one funding need, whether for business, property or personal.

They may need to consolidate debts now, complete home improvements later, and keep funds available for future business, property, or personal costs. Instead of arranging a new loan each time, Selina’s Home Equity Line of Credit (HELOC) could provide one flexible facility for the right client.

Selina is a direct lender offering regulated second-charge lending secured against a client’s primary residence or second home. Our HELOC gives eligible clients an approved credit limit that they can draw, repay, and redraw during the flexibility period, while only paying interest on the amount they actually use.

Key HELOC features include:

Facilities up to £500,000, depending on LTV
2 to 5-year flexibility periods
Terms from 5 to 30 years
No ERCs on HELOC
Rates currently starting from 6.29% APR below 65% LTV, subject to criteria, affordability and underwriting

For example, a homeowner who owns several properties in an SPV could be approved for a £500,000 HELOC facility secured against their main residence.

They may choose to use it in stages:

£200,000 deposit fund for properties identified on the open market.
£150,000 refurbishment budget for new and existing properties in their portfolio.
£100,000 to consolidate business and personal high-interest short-term debt.
£50,000 buffer for contingency costs where project spend changes.

Instead of taking the full £500,000 from day one, the client can draw funds as needed only being charged on the drawn balance not the entire credit limit

This can be useful for clients who know they will need access to capital but do not know exactly how much they will need upfront or when each cost will arise.

You can view our product guide here.