Taylor Getler
Kate Wood
Johanna Arnone
This service is free and will not affect your credit score.
Best for rate shopping
NMLS#330511
90%
680
National
Our take on Better
Online lender Better’s home equity loans offer flexible terms and personalized rate tools, but application or support options are somewhat limited.
Best for military borrowers
Our take on Veterans United
Veterans United’s home equity loans feature high borrowing limits and long-term options, with average closings in three weeks. Be aware that the loan will come from a third-party partner.
Best for high borrowing limit
NMLS#3029
90%
640
National
Our take on CrossCountry Mortgage
CrossCountry’s home equity loans offer long, flexible terms and high borrowing limits, but require an appraisal and lack transparent rate information online.
Best for high borrowing limit
NMLS#6606
90%
620
National
Our take on New American Funding
New American Funding’s home equity loans feature flexible terms, relatively speedy closings and high borrowing limits, but lack rate transparency.
Best for repayment options
Our take on SoFi
SoFi’s home equity loans offer flexible term options and make sample rates available for customization online, but require an appraisal and may have slower closings than some lenders.
Best for high borrowing limit
NMLS#1168
5.0
90%
640
National
Our take on AmeriSave
AmeriSave’s home equity loan offers high borrowing limits and flexible long-term options, but lacks rate transparency.
Best for high borrowing limit
Our take on loanDepot
LoanDepot’s home equity loans feature high borrowing limits, long-term options, and no appraisal requirement, but may have slower closing times.
Best for repayment options
NMLS#3274
90%
680
National
Our take on Guild Mortgage
Guild’s home equity loans feature flexible terms and high borrowing limits, but lack rate transparency, and may have slower closing times.
Best for variety of term options
NMLS#446303
85%
680
National
Our take on PNC Bank
PNC Bank’s home equity loans feature long-term options and are available for second homes, but require an appraisal and may have slower closing times.
Best for fast closing
NMLS#35953
85%
680
National
Our take on Pennymac
Pennymac’s home equity loans offer solid customer support but lack rate transparency.
40
Lenders reviewed
10
Categories assessed
40+
Data points analyzed
5.0
Overall score
 | How can I get the best home equity loan rates? The best interest rates for home equity loans tend to go to borrowers with the highest credit scores and lowest amounts of debt. If you're planning to apply for a home equity loan, my best advice is to get your financial profile in shape first— you can save thousands in interest payments. - Taylor Getler, Lead Writer, Mortgages |
Features of the loan | HELOC | Home equity loan |
|---|---|---|
Loan funding | You can draw funds as needed, up to a certain limit (typically a percentage of your equity). | You receive a lump sum at closing (typically a percentage of your equity). |
Terms | Begins with a draw period (typically 10 years) with interest-only minimum payments. This is followed by a repayment period (often up to 20 years) that requires you to pay back principal and interest. | Repayment periods are often up to 30 years. Minimum payments include both interest and principal. |
Rates | Variable, (though some lenders offer a fixed-rate option) | Fixed |
Borrowing limits | You can typically borrow between 80%-85% of the equity in your home. Some lenders allow for more. Use NerdWallet's HELOC calculator for personalized details. | You can typically borrow between 80%-85% of the equity in your home. Some lenders allow for more. Use NerdWallet’s home equity loan calculator for personalized details. |
Lenders | See top of page. |
