The national average HELOC rate is at a low not seen since late 2022, making it appealing for homeowners needing cash. Curinos data shows an average rate of 7.44% for applicants with a credit score of 780 and a CLTV of 70%. With mortgage rates stagnant, accessing home equity can be frustrating.

The Federal Reserve estimates $36 trillion in home equity, locked away. A HELOC allows homeowners to tap into this equity. Rates for HELOCs are different from primary mortgages, often based on an index rate plus a margin. Shop around for the best rates based on your credit score and debt.

HELOCs offer flexibility for homeowners to access equity without giving up low mortgage rates. Lenders may offer introductory rates that later become adjustable. The best HELOC lenders provide low fees, fixed-rate options, and generous credit lines to use as needed.

FourLeaf Credit Union offers a 5.99% introductory HELOC rate for 12 months on lines up to $500,000. HELOCs allow flexibility in borrowing only what is needed and leaving the rest for future use. Rates can vary greatly, so compare offers carefully based on creditworthiness and diligence in shopping.

For homeowners with low primary mortgage rates and equity, now is a great time to consider a HELOC. By keeping the low mortgage rate and using HELOC funds for improvements or other needs, homeowners can avoid long-term debt. Borrowing and repaying within a shorter period is ideal for HELOCs.

Read more at Yahoo Finance: Rates this low haven’t been seen since 2022