Unlock Your Home's Equity with a HELOC

A HELOC is a revolving line of credit that allows you to borrow, repay, and borrow again during the draw period—similar to a credit card but secured by your home. A home equity loan provides a lump sum upfront with fixed payments. HELOCs typically have variable interest rates, while home equity loans usually have fixed rates.

Most lenders allow you to borrow up to 85% of your home's appraised value, minus any outstanding mortgage balance. For example, if your home is worth $400,000 and you owe $250,000 on your mortgage, you could potentially access up to $90,000 ($400,000 × 0.85 = $340,000 - $250,000 = $90,000).

You can use HELOC funds for virtually any purpose: home renovations, debt consolidation, education expenses, emergency funds, business investments, or major purchases. However, interest may only be tax-deductible when used for substantial home improvements—consult your tax advisor.

HELOCs typically have a draw period of 5-10 years (when you can borrow funds and usually make interest-only payments) followed by a repayment period of 10-20 years (when you can no longer borrow and must repay principal plus interest). Terms vary by lender.

HELOC interest rates are typically variable and tied to the prime rate, though some lenders offer fixed-rate options. Rates are generally much lower than credit cards or personal loans because your home secures the line of credit. Current rates vary based on creditworthiness and market conditions.

Fees vary by lender but may include application fees, appraisal fees, annual fees, and closing costs. Some lenders offer no-closing-cost HELOCs with competitive rates. We'll provide a complete fee breakdown upfront so there are no surprises.

Most lenders require a credit score of at least 620-680, though higher scores typically qualify for better rates. We'll also consider your debt-to-income ratio, employment stability, and available home equity when evaluating your application.

Most HELOCs allow early repayment without prepayment penalties, giving you flexibility to pay down your balance when you have extra funds. This reduces your interest costs since you only pay interest on your outstanding balance. Always confirm prepayment terms with your specific lender.