From Yahoo Finance: 2025-05-31 06:00:00

HELOC rates dropped today as consumer prices cooled, giving the Fed room to pause on further rate cuts. Zillow reports rates on 10-year HELOCs at 6.84%, 15- and 20-year HELOCs at the same. VA-backed HELOCs rose to 6.36%. Homeowners hold over $34 trillion in home equity, the third-largest on record.

HELOC rates are demand-driven and differ from primary mortgage rates. Lenders base rates on an index rate plus a margin, often the prime rate at 7.50%. Average national HELOC rates may have introductory rates that spike later. Best HELOC lenders offer low fees, fixed-rate options, and generous credit lines.

FourLeaf Credit Union offers a 6.49% HELOC rate for 12 months on lines up to $500,000. Shopping lenders requires comparing introductory and variable rates, fees, repayment terms, and minimum draw amounts. HELOCs allow tapping only what’s needed, paying down low-interest mortgages, and building wealth efficiently.



Read more at Yahoo Finance: Interest rates on HELOCs fall as inflation cools