Second Mortgage

What does it take for you to qualify for both the loans with purchase money and get a combo loan.

As far as just second mortgage is concerned, just like a home equity loan, you need to have a pretty good credit score, good income/employment history and low DTI.

The person who qualifies for a second mortgage is one that has a credit score acceptable to the lender, enough equity in the property to warrant a second and the ability to repay the loan.

So this is how it works out in the end: If you have paid off your 1st mortgage then you are not getting a second you are getting a new first mortgage.

Moreover, it depends on what exactly are you trying to do? Purchase another home or get a seconnd on your personal residence? It can depend on many factors, credit score, income, equity in the home. If you are trying to get a second mortgage, here are two main types to know for a start: 

First, A Home Equity Loan is a second mortgage loan that provides you with a fixed amount of money repayable over a fixed period. Generally the loan calls for equal payments that will pay off the entire loan within that fixed time.

Second, A Home Equity Line of Credit is a home equity line is a form of revolving credit in which your home serves as collateral. Many homeowners prefer to use their credit line for items such as education and home improvements, not for day-to-day expenses.

With a home equity line, you will be approved for a specific line of credit. That amount is the maximum you can borrow at any one time while you have the credit line. Home equity plans typically include a fixed time during which you can borrow money, such as 10 years.