Homeowners with equity have access to two unique financial options: home equity loans and home equity lines of credit (HELOCs). But what’s the difference?
HELOC
Credit line that you can draw upon as needed
Only pay interest on the amount you borrow
Variable interest, depending on your credit score and the prime rate
Home Equity Loan
Lump sum loan (meaning you receive the full amount at once)
Set monthly payments
Fixed interest rate that’s typically lower than a HELOC The best option for you will depend on your individual needs and circumstances.
Reach out for a referral to a loan officer who can help you make an informed decision.
