The “5 Day HELOC” – Mortgage Monday | Wake Up Real Estate Show 12/11/23

The “5 Day HELOC” – Mortgage Monday | Wake Up Real Estate Show 12/11/23


Good morning and welcome to Wake Up Real Estate! It’s Monday, which means it’s Mortgage Monday. Today, we’re talking about the Fay HELOC, the 5-day HELOC, and other updates in the mortgage world that should be encouraging for many of you. Good morning, Mike and Mark Webster, who aptly calls it “Money Monday.” Ryan is traveling today, so he won’t be joining us.

Technical Glitches

I had a bit of a technical hiccup. I accidentally allowed random people to join as hosts while testing a new setup for live streaming on TikTok. We’ll sort out the kinks and test again later to ensure everything runs smoothly for tomorrow’s deep dive session.

Housekeeping Items

We’ll briefly discuss the five-day HELOC today but plan a deeper dive tomorrow at 1 PM Eastern. You can register for free at HELOCclass.com. If you miss the live session, it will be available on-demand. Also, we’ll add it to the Wake Up Real Estate YouTube channel and website.

Market Activity Update

Increased Buying Activity

Jordan shared that buying activity, application activity, and contract activity have significantly increased. Interest rates have dropped a full percent from last month, which is driving this surge. Rates are expected to continue inching down over the next 12 months.

Interest Rate Strategy

We discussed strategies for managing interest rates. While it’s possible to get into the fives now by buying down rates, it’s not always recommended due to the time required to recoup the costs. For some, it might be better to wait for rates to drop naturally over the next year or so.

Builder Incentives and Financing Options

Using Builder Incentives

We explored how to best utilize builder incentives, such as closing cost contributions. Sometimes, it might make sense to negotiate the price down instead of using the incentive for rate buy-downs. This can help lower the mortgage amount for future refinancing.

Client Scenarios

Jordan and I discussed different client scenarios, such as using incentives to pay down other debts like car loans, which can improve monthly cash flow. Every client’s situation is unique, so it’s important to tailor advice to their specific needs.

Current Projects and Trends

Investor and First-Time Buyer Activity

We’ve seen an increase in investor activity, especially with DSCR loans and HELOCs for pulling equity. First-time buyer applications have also risen, particularly with down payment assistance programs becoming more attractive due to lower interest rates.

Down Payment Assistance (DPA)

Down Payment Assistance programs are now more appealing with the drop in interest rates. Lenders are pushing these products, and buyers are exploring them more deeply. We previously discussed these programs in our sessions, and they continue to be a popular topic.

The 5-Day HELOC


The 5-day HELOC is a simple, fully online, automated application process. Clients can apply in five minutes or less and get funding in five days or less. For non-primary residences, funding can be as quick as two or three days. Clients can borrow up to $400k, and the HELOC can be on primary, secondary, or non-owner-occupied properties, and in first, second, or third lien positions.

Flexibility and Costs

While the rates for the 5-day HELOC are higher than a fixed 30-year refinance, the costs are lower. It’s a good option for those looking to use the funds for renovations, debt consolidation, or investments. We’ve received great activity from our marketing efforts, with several applications coming in since Friday.

Adding Mortgage Revenue

Opportunities for Real Estate Agents

For real estate agents, adding mortgage revenue can be a valuable additional income stream. By helping clients with mortgage solutions, agents can build stronger relationships and potentially increase referrals. Scheduling a chat with me at josh15.com can provide more details.

Client Conversations

We’ve had productive conversations with clients about their options. For example, one client with significant equity in multiple properties is exploring the best ways to use their HELOC. These discussions help clients realize they have more flexibility than they might think, even if they’re locked into a low mortgage rate.

Upcoming Sessions and Break

Tomorrow, we have our deeper dive into the 5-day HELOC at 1 PM Eastern. You can register at HELOCclass.com. On Wednesday, we’ll have a session with Elliott Tomashefski from Zilio at 1 PM Eastern. Register at wakeup.realestate/smm. We’ll be taking a two-week break for the holidays after this week and will return on Tuesday, January 2nd. Expect some content during the break, but live shows will resume in January.

Q&A Highlights

We addressed some questions from viewers about becoming a loan originator, the licensing process, and the benefits of being employed with Nexa Mortgage. It’s easier and less costly than getting a real estate license, and it offers great benefits.


Thanks for joining us on Mortgage Monday. We hope to see you tomorrow for our deep dive into the 5-day HELOC. Remember, understanding and utilizing mortgage options can significantly benefit your financial situation and help you achieve your goals.

Call to Action

If you’re interested in learning more about the 5-day HELOC, be sure to register for our session at HELOCclass.com. For real estate agents looking to add mortgage revenue to their business, schedule a chat with me at josh15.com. And don’t forget to visit wakeup.realestate for more resources and information. See you next time!

Real Estate Agent Pointing Down