u/Pretend_Flower5469

My wife and I recently assumed a mortgage on our primary home and were able to keep the existing low interest rate, so we absolutely do NOT want to refinance or touch the first mortgage at all.

Here’s our rough situation:

• Home value: around $780k
• Current mortgage balance: around $359k
• Credit scores: ~780s
• Both in healthcare (RN + Physician Assistant)
• Looking at major home renovations/addition
• Estimated renovation cost: around $300k–360k

We’ve been researching:

• HELOCs
• Fixed-rate home equity loans / second mortgages
• Personal loans
• Construction or renovation loans

Main goals:

• Keep existing first mortgage untouched
• Lowest rate possible
• Prefer fixed payments/rates
• Avoid crazy closing costs or predatory products
• Potentially borrow in stages depending on contractor timeline

A few questions for people who’ve been through this recently:

1. Did you go HELOC or fixed second mortgage and why?
2. Any lenders/CUs you recommend in California? (Looking at Logix and SchoolsFirst Credit Union currently)
3. Did lenders give trouble after a recent purchase or loan assumption due to seasoning requirements?
4. Has anyone successfully borrowed based on AFTER renovation value/appraisal?
5. If you needed more than 80% CLTV, what route did you take?
6. Would you avoid variable-rate HELOCs right now?
7. Any hidden downsides I should know before applying?

Trying to make the smartest move financially without losing our current mortgage rate. Appreciate any advice or lessons learned.