Line of Credit help!

[awp317]

OK so when I started my company I opened a line of credit for the company using my house as collateral, and I personally gaurenteed it. I am selling my house and moving to a new house in the same area (going bigger to fit growing family). My current house has no liens other than the line of credit. This made the loan process very easy. 

However im being told by the bank (same bank that I have the current line with who is also the same bank doing the mortgage on the new house) that it wont be that simple to get the line on the new house since its not the only lien on the property anymore, and may not be possible. 

After my down payment, the appraised value (banks appraiser) to the money borrowed to by the house with be 30% leaving 70% in positive equity. The new property is worth far more than my current property. IM making triple what I was making when i got the line of credit 5 years ago. Why are they telling me that I can no longer use my house as collateral? 

They reccommended that I get a line of credit using my stock portfolio as collateral. But that they dont handle that type of loan. In looking around the banks around me do that, but only if I have a portfoio with them, and I dont want to mess with my stocks to do that. I do have a line of credit with edward jones, but its not in the company name, and my advisor doesnt like me using it unless I absolutly have to. Plus its not as convient, I ether have to write a check to my business account and wait out the holding period, or have my advisor do a wire transfer. this requires a lot of planning in advance. Where as with my current line of credit, the day I need money I simply transfer from the line to my checking online, and 30 min later walk in to the bank and get a certified check. 

I use my line of credit twice a year currently for about 2 months at a time to either get me through the slow periods (winter) or purchase large plots of land and build inventory. Its an interest only line fixed at 3.75%. 

Anybody have any suggestions as to what I can do. IM honestly consitering renting my house instead of selling it to keep my line of credit open.  My credit is better, I have more personal credit than I did back then, My income has been solid for over 2 years now, where as when the business was new I had no idea how much the company could afford to pay me. I would think that with my larger income, and larger collateral that they would have no problem keeping the line and increasing it really,  as the terms are now way better. But I guess im not an LO so I dont know the secret formula to getting a line of credit.

Im just frustrated, 6 months ago when we started looking the first thing I did was go in and ask about this. The lady said that its a simple change, when we sell and close on house they simply use funds from closing to pay off the line and then transfer it to the new property, and then re borrow what they had to use to pay it off and put it on to the new mortgage.   Now im being told I have to pay it off and close it unless I want whats borrowed taken out of my closing funds and then I have to re apply and go through a whole new loan process. 

Thanks for any help or suggestions!

[Creditaddict]

How much is this line of credit?

Who do you bank with for business?

[awp317]

150k and its with BB&T, I have savings, personal checking and business checking with them, and as I say the mortgage is with them as well. Have banked with them since 2002. Edward jones holds all my investments however. 

[Creditaddict]

I would think if you have 70% equity... not sure the $ figure on that but I would think they could open you a equity line of credit if you are only using it a couple times a year wouldn't think that would be a big deal.

[awp317]

Apprently they count owning houses outright as debt due to taxes and insurance in their figuring. So what they are saying is me owning a second home in florida thats paid in full but has high taxes adds to my financial burdan, and that on top of my jumbo loan im taking out to buy my new house, according to their system over taxes me. That its not a matter of equity or credit rating its a matter of not enough income. But he isnt factoring business income in to that just my personal and said to meet with the business consultant to discuss it further. He said he would be willing to give me a line of credit if I opened a CD or equivilant for 75% of the value with them however. I think im just going to use my edward jones line of credit or next time im down in florida I will see if I can put a line of credit on a second home. I was told by someone a few years ago its primary residence only. But that may have changed. The benefit of edward jones though is the balances dont report.