Home Equity Explained

Home Equity line of credit can be used to pay for a variety of things including home renovations, consolidating debt, college tuition, major purchases and more.

Apply for a home equity line of credit by visiting the Choice Home Equity Line of Credit page.

The minimum amount of information you should be prepared to answer at the time of application includes:

• Personal Information (Full name, Social Security number, Date of Birth, employment status, income)
  
• Contact Information (phone, email)
  
• Property Information (address, property type, estimated property value)
  
• Requested Loan Amount

Upon submission of your application, PNC will obtain and review your credit history. Approval for credit is contingent upon your credit history and other factors.

Additional information and other required documentation may be needed to process your credit application. Depending on your individual financial situation, you may be required to provide some or all of the following:

• Tax statements
  
• Copies of pay stubs
  
• Financial statements (bank and asset)
  
• Information on additional properties you may own

See our PNC Home Equity Application Checklist below, or (PDF) download the PDF version of our checklist, for a list of documentation you may need, depending on your individual situation.

If your request for credit is approved, we will:

• Communicate the final approval or a counter-offer to you, detailing any closing stipulations.
  For example, updating the declaration page of the Homeowner’s Insurance Policy listing PNC Bank, NA as loss payee is required.

• We’ll then schedule a closing date and verify the amount(s) to be disbursed, if applicable, including the amount(s) of any required payoffs.

If we are unable to approve your request for credit, you will receive a communication indicating the reasons for the decline.

At closing all applicants to provide two forms of identification; one must be a valid photo ID. After reviewing the terms and conditions of your line of credit, you will be asked to acknowledge and accept those terms and conditions by signing loan documents.

When using a primary residence as collateral, a three business day right to cancel (“rescission”) period is required by law to allow applicants the opportunity to cancel their home equity line of credit application.

Once your right to cancel period has expired, the funds from your home equity line of credit will be available.

You may be asked to provide, for all applicants, some or all of the items listed below to decision your credit request. Additional documents may be requested upon application review. In order to expedite the process, please provide all required information at the time of application. Submitting information can be done via Home Insight Tracker, email or fax.

Personal Information for Applicant and Co-Applicant:

• Full legal name, Social Security number, Date of Birth
• Current address and previous, if less than two years
• Current employer and previous, if less than two years
• Phone number for employer’s main office or Human Resources
• Government issued photo ID (Driver’s license, US passport or state-issued ID)

Required Income Documentation for Applicant and Co-Applicant

You may fall into one or more of these categories.  Please submit all documents that apply.

For Wage Earners:

• Most recent paystubs showing last 30 days YTD income
  
• Most recent 2 consecutive years W-2s
• If Commission Income over 25%: All items indicated above and most recent 2 consecutive years Personal Federal tax returns

For self-employed & ownership is less than 25%

• Most recent 2 consecutive years W-2s, if applicable
• Most recent 2 consecutive years Personal Federal tax returns (with all schedules)
• Most recent 2 years K-1s (if applicable)

For self-employed & ownership is greater than 25%

• Most recent 2 consecutive years Business Federal tax returns (with all schedules)
• Most recent 2 consecutive years Personal Federal tax returns (with all schedules)
• Most recent 2 years K-1s (if applicable)

Social Security Income and Pension Income:

• Award letter demonstrating SS or retirement benefit
• Letter from paying organization/pension, annuity
  or disability

Investment Income

• Most recent investment statements and proof of receipt
• Most recent 1099

Rental Income

• Most recent 2 consecutive years Personal Federal tax returns
• Lease agreements — current
• Mortgage balance statement (if applicable)

Additional Documents

If applicable, we will request:

• YTD Balance Sheet for period ending no greater than 6 months prior to application
• Audited YTD Profit & Loss Statement (P&L) not aged more than 4 months, and the statements from accounts with business activity, signed.
• Current year tax return extension
• Trust Agreement (all pages)
• 30-day payoff statement for all required payoffs
• Power of Attorney (must be recorded in same county as property)
• 2 years Personal Federal tax returns (with all schedules)

The Maximum Loan-to-Value (LTV) varies by lein postion, type, location of the collateral property and whether the applicant has existing accounts at PNC.