Ways to tap home equity
- HELOC (home equity line of credit) — a revolving line you can draw from as needed during a draw period
- Home equity loan — a fixed second mortgage disbursed in a lump sum
- Cash-out refinance — replace your first mortgage with a larger loan and take cash out (see Refinance)
- Your home secures the loan; missing payments can put the property at risk
- Combined loan-to-value limits, credit, and income guidelines apply
- Rates and structures vary widely by lender
Related: Cash-out refinance · Reverse mortgage · Renovation loans
Program availability, guidelines, and eligibility are subject to lender guidelines and eligibility, credit approval, income or asset verification, and property eligibility. This is not a commitment to lend and does not guarantee loan approval. See Disclosures.
