Home Equity
Your home is likely your single largest asset. Tap its equity through a HELOC, fixed-rate home equity loan, or cash-out refinance — and compare lenders side-by-side before you commit.
Home equity basics
- Products
HELOC vs Home Equity Loan
HELOCs are variable-rate lines of credit you draw against as needed. Home equity loans are fixed-rate lump sums. The right pick depends on whether you need certainty or flexibility.
By Owen Bishop
- Programs
Cash-Out Refinance vs Second Lien
Cash-out refi replaces your first mortgage at a new rate; a second-lien HELOC or HEL leaves it alone. The math depends on your current rate vs. today's rate.
By Daniel Reyes, CFA
- Qualifying
How Much Equity Can I Actually Tap?
Most lenders cap combined loan-to-value at 80-85%. On a $500k home with a $300k mortgage, that's $100-125k of accessible equity at most.
By Owen Bishop
- Risk
What Happens If You Can't Repay
Both HELOCs and home equity loans are secured by your home. Default means foreclosure — same as your first mortgage. Plan repayment before you draw.
By Maya Patel, CFP®
Frequently asked questions
What's the typical APR range for Home Equity today?
Rates depend on credit profile, loan amount, and the lender's funding model. The lenders listed above show their disclosed APR ranges; pre-qualifying with two or three usually produces the most accurate read for your situation.Will checking my rate hurt my credit score?
Pre-qualification uses a soft credit pull, which doesn't affect your score. A hard pull only happens after you formally apply — so you can compare offers from multiple lenders first.How long does funding take after approval?
Most lenders listed fund within 1-5 business days of accepting your offer. Home Equity can take longer when underwriting requires additional documentation (income verification, asset statements, etc.).What credit score do I need?
Minimums vary by lender. Some accept scores in the high 500s; others require 680+ for the best published rates. Check each lender's "Min credit" column above.