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you're most likely going to close the line of credit later on anyway when you try to get a mortgage so you can close it then or close it now if you don't use it. Once you have your mortgage you can then try to get a home secured LOC so the rates are much much lower and you could potentially use those funds for home renos etc.
Since you have a good habit in saving and have good credit, its all going to come down to income. When banks use income they use a ratio that calculates total debt service meaning how much of your after tax income is being use to pay off existing debt facilities. In order for them to approve you for a mortgage this ratio has to be below 42% (lower the better).
This brings back to why most people cancel a lot of their credit facilities before applying for mortgages otherwise the bank will use your existing debt instruments and count it towards the total debt service ratio. At the end of the day its all about how much risk the bank is going to take.
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