When a builder packages a first mortgage with a large HELOC second, it's often because their in-house lender lacks a truly competitive standalone jumbo. They pair the structure with a sizable incentive credit to make it attractive and hard to shop away from. Treat that headline credit with some skepticism: measured against open-market pricing, not all of it is real value. Structural points to weigh: - A Prime-tied HELOC floats. Its rate and payment move with short-term rates, up or down, and nobody can promise the direction. - Conforming limits reset with home prices each year (and hold, rather than fall, when prices dip), so a loan that's jumbo today can land inside conforming limits in a future year, which may open cleaner refinance options later. - On points versus paying down the HELOC: we lean against paying points as a default, but this is a comparison some people want to see, and we'll run that side-by-side for you. The honest answer depends on the specifics, so put both paths on paper. Do shop an independent lender's jumbo terms as well. The catch is that when a large builder credit is contingent on using their lender, that credit can outweigh a better outside rate, so compare total cost, never just the rate. We're happy to run the whole side-by-side in the free Roadmap conversation, about 20 minutes with your real numbers.