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7 Best Home Equity Loan Lenders of 2025

Last updated on May 1, 2025
Taylor Getler
Written by 
Lead Writer & Content Strategist
Kate Wood
Reviewed by 
Lead Writer & Spokesperson
Dawnielle Robinson-Walker
Edited by 
Editor & Content Strategist
Fact Checked
Taylor Getler
Written by 
Lead Writer & Content Strategist
Kate Wood
Reviewed by 
Lead Writer & Spokesperson
Dawnielle Robinson-Walker
Edited by 
Editor & Content Strategist
Fact Checked

Many or all of the products on this page are from partners who compensate us when you click to or take an action on their website, but this does not influence our evaluations or ratings. Our opinions are our own.

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NerdWallet's mortgage content, including articles, reviews and recommendations, is produced by a team of writers and editors who specialize in home lending. Their work has appeared in The Associated Press, USA Today, The Washington Post, MarketWatch, Newsweek and many other national, regional and local publications. They have been cited in publications including The Wall Street Journal, and appeared on NerdWallet's "Smart Money" podcast as well as local TV and radio.

7 Best Home Equity Loan Lenders of 2025

Have you or your spouse served in the military?

We’ve got more home loan options for you. Show me

|
Lender
NerdWallet Rating
Min. credit score
Max LTV
National / regional
Learn more
Better

Better: NMLS#330511

4.5
/5
Home equity loans
Best for no closing costs

680

90%

National

Rate

Rate: NMLS#2611

5.0
/5
Home equity loans
Best for high borrowing limit

680

90%

National

CrossCountry Mortgage

CrossCountry Mortgage: NMLS#3029

LEARN MORE
on NerdWallet
4.5
/5
Home equity loans
Best for high borrowing limit

640

90%

National

LEARN MORE
on NerdWallet
Discover Home Loans

Discover Home Loans: NMLS#684042

LEARN MORE
on NerdWallet
5.0
/5
Home equity loans
Best for high borrowing limit

680

90%

National

LEARN MORE
on NerdWallet
Navy Federal

Navy Federal: NMLS#399807

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on NerdWallet
5.0
/5
Home equity loans
Best for military borrowers

N/A

100%

National

LEARN MORE
on NerdWallet
Better: Best for no closing costs
NMLS#330511
4.5
Home equity loans
Max LTV
90%
Min. credit score
680
National / regional
National
Learn more
on Better's website
on Better's website
  • Why we like itBetter home equity loans stand out for having high borrowing limits and a convenient digital application.
    Pros
    • Maximum borrowing limit is higher than industry standard.
    • Borrowers can apply online or via mobile app.
    • Home equity loans are available for second homes.
    Cons
    • Info about home equity loans is very limited on Better’s website.
    Read full review
Rate: Best for high borrowing limit
NMLS#2611
5.0
Home equity loans
Max LTV
90%
Min. credit score
680
National / regional
National
Learn more
on Rate's website
on Rate's website
  • Why we like itRate home equity loans have higher borrowing limits than many competitors, but borrowers will have to contact the lender to get any information about the product.
    Pros
    • Maximum borrowing limit is higher than industry standard.
    • Home equity loans are available for second homes.
    Cons
    • Borrowers must reach out for home equity loan rates.
    • Home equity loan information is not available on the lender's site.
    Read full review
CrossCountry Mortgage: Best for high borrowing limit
NMLS#3029
4.5
Home equity loans
Max LTV
90%
Min. credit score
640
National / regional
National
LEARN MORE
on NerdWallet
  • Why we like itCrossCountry home equity loans have no appraisal or application fees, and a borrowing limit higher than the industry standard.
    Pros
    • Maximum borrowing limit is higher than industry standard.
    • No appraisal or application fees.
    • Reported average closing timeline of 21 days is faster than many competitors.
    Cons
    • Interest rates are not posted online.
    Read full review
Discover Home Loans: Best for high borrowing limit
NMLS#684042
5.0
Home equity loans
Max LTV
90%
Min. credit score
680
National / regional
National
LEARN MORE
on NerdWallet
  • Why we like itFor homeowners looking to borrow at least $35,000, Discover home equity loans offer competitive rates and no closing costs.
    Pros
    • Maximum borrowing limit is higher than industry standard.
    • No closing costs or application fees.
    • Repayment terms up to 30 years.
    Cons
    • Minimum loan amount is $35,000.
    Read full review
Navy Federal: Best for military borrowers
NMLS#399807
5.0
Home equity loans
Max LTV
100%
Min. credit score
N/A
LEARN MORE
on NerdWallet
  • Why we like itNavy Federal Credit Union’s home equity loans allow service members and their families to borrow up to 100% of their equity.
    Pros
    • Borrowers can access up to 100% of equity, higher than most lenders.
    • Flexible term options: 5, 10, 15 or 20 years.
    • No application fee, closing costs or prepayment penalty.
    Cons
    • Minimum loan amount of $10,000.
    • Can’t customize a rate estimate on the website.
    • Credit union membership is limited to those with U.S. military connections.
    Read full review
PrimeLending: Best for no closing costs
NMLS#13649
4.5
Home equity loans
Max LTV
85%
Min. credit score
680
National / regional
National
LEARN MORE
on NerdWallet
  • Why we like itPrimeLending home equity loans stand out for having no closing costs, as well as repayment term options ranging from 10 to 30 years.
    Pros
    • No application fees or closing costs.
    • Offers a wide range of repayment terms.
    • Available for second homes.
    Cons
    • Borrowers must reach out for interest rate quotes.
    Read full review
Network Capital: Best for fast closing
NMLS#11712
4.5
Home equity loans
Max LTV
85%
Min. credit score
660
LEARN MORE
on NerdWallet
  • Why we like itNetwork Capital home equity loans have one of the shortest closing times among surveyed lenders, along with no application fees or appraisal requirements.
    Pros
    • No application fee or appraisal required.
    • Reported average closing timeline of 20 days is faster than many competitors.
    • Borrowers who apply via mobile app may get a faster response.
    Cons
    • Home equity loan rates are not posted online.
    Read full review
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How a home equity loan works

You build equity in your home in two ways: by making monthly mortgage payments and through market changes that increase your home’s value.

Once you’ve paid at least 15%-20% of your home’s value, you can borrow against that amount with a home equity loan. You’ll receive the money you borrow as a lump sum with a fixed interest rate.

Shopping around with at least three lenders can help get you the best rate. Your home equity loan rate is determined by financial qualifications, such as:

  • Debt-to-income ratio, or DTI. This is the percentage of your monthly income that is set aside for your other debts, like car payments and student loans. A DTI ratio no higher than 43% will help you qualify with most lenders. 

  • Credit score. Most lenders on this list look for a minimum credit score of 680 or higher. 

  • The amount you’re borrowing. Lenders’ lowest advertised rates usually assume that the loan is worth a minimum amount. For example, the lender might give the best rate offers to borrowers taking out at least 60% of their home equity.

MORE NERDY PERSPECTIVE 🤓

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

Alternatives to a home equity loan

Home equity loans aren’t your only option for accessing equity. HELOCs and cash-out refinances also allow you to turn some of your home equity into cash.

Remember: the loan is backed by your home, so it's safest to use the cash in a way that will improve your financial position. For example, your equity could pay for home renovations that add to the value of your home.

Here’s what to know when you're comparing home equity loans, HELOCs and cash-out refinances.

  • Is a line of credit that you borrow against as you need it. You don’t need to know exactly how much you’ll need beforehand, just an estimate. 

  • Has an adjustable interest rate. This means that your interest rate will change over the life of the loan. Some lenders also offer a fixed-rate option.

  • Check out NerdWallet's best HELOC lenders.

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

  • Replaces your mortgage with a larger new loan.

  • You get the difference between the new higher loan amount and the amount owed as a cash payment.

  • Interest rates are generally higher than a standard refinance, but lower than home equity loans or HELOCs.

Fact-checked as of May 1, 2025

Last updated on May 1, 2025

Frequently asked questions

  • Home equity loan rates vary from day to day and from one lender to another. To make sure you're getting a good home equity loan rate, compare offers from at least three lenders. It may seem simpler to get a home equity loan from your current mortgage lender, but that might not get you the best deal.

  • Home equity loan rates are influenced by a base rate called the prime rate. Lenders will add a margin to the prime rate based on your borrower qualifications. Your qualifications include your credit score, debts and income.

  • You'll need a credit score that is at least 680 to qualify for a home equity loan with most lenders on this list. A higher score will help you qualify with more lenders.

    You may also need to have at least 20% home equity. This means the remaining balance on your original mortgage is no more than 80% of your home's current value.

Methodology

The star ratings on this page reflect each lender's performance in NerdWallet’s home equity loans category. For inclusion in this roundup, lenders must offer home equity loans and achieve a star rating of 4.5 or above in the home equity loan rubric from NerdWallet. We scored the category and chose lenders for this page using the following methodology:

NerdWallet reviewed more than 40 mortgage lenders, including the majority of the largest U.S. mortgage lenders by annual loan volume (measured among lenders with at least a 1% market share), lenders with significant online search volume and those that specialize in serving various audiences across the country.

All reviewed mortgage lenders that offer home equity loans were evaluated based on (1) maximum CLTV, (2) application fees, (3) closing costs, (4) whether or not an appraisal is required, (5) range of repayment terms, (6) rate transparency, (7) digital application availability and (8) customer support options. The highest scoring lenders appear on this page.

NerdWallet solicits information from reviewed lenders on a recurring basis throughout the year. All lender-provided information is verified through lender websites and interviews.

To recap our selections...

NerdWallet's Best Home Equity Loan Lenders of 2025

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