A Home Equity Line of Credit or HELOC for short, is simply a revolving line of credit that allows you to borrow against the equity in your home. This is typically at a much lower interest rate than a traditional line of credit. The variable-rate interest is paid monthly on only the amount you withdraw, and you usually have flexibility in repaying the amount borrowed, which is made in addition to your mortgage payments.
How much home equity can I access with a HELOC?
You may be able to borrow up to:
What can I use a HELOC for?
You can use your line of credit at your discretion for any extra funds you might need. Some examples are...