HELOC vs Home Equity Loan

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.