Gershman Mortgage and Truss Financial Group have rolled out competing HELOC products targeting different borrower segments. Gershman's offering provides a home equity line of credit up to $750,000 with a rapid 5-day closing timeline, addressing homeowners seeking quick access to funds against their property equity. Truss Financial Group launched a debt service coverage ratio HELOC capped at $1 million, designed specifically for real estate investors who rely on rental income to qualify for credit.
The products reflect diverging market strategies. Gershman targets speed-conscious borrowers in the traditional homeowner market, where fast funding matters for renovations, debt consolidation, or other immediate needs. The $750,000 limit suits middle-market homeowners in moderate-to-high-value markets. The 5-day close represents a significant advantage over traditional HELOC timelines, which typically run 30-45 days.
Truss's DSCR HELOC serves a different customer base. Investors holding rental properties often struggle to qualify for conventional HELOCs because lenders typically count W-2 income rather than property cash flow. By underwriting based on debt service coverage ratio, Truss lets investors tap equity without salary verification, using actual rental revenue instead. The $1 million maximum appeals to portfolio investors managing multiple properties.
Both offerings arrive as HELOCs gain traction among homeowners facing higher mortgage rates on refinances. Rather than securing new mortgages at elevated rates, borrowers increasingly tap existing equity through HELOCs, which often carry variable rates and avoid refinancing costs. For investors, the DSCR approach removes qualification barriers tied to employment income, allowing better access to leverage.
Gershman's speed advantage matters in competitive situations where borrowers need certainty quickly. Truss's investor focus