The national average HELOC rate is under 8%, with rates falling as holiday cash needs rise. Homeowners have nearly $36 trillion in home equity. Second mortgage rates are based on an index rate plus a margin, offering flexibility for lenders. Best HELOC lenders offer low fees and a fixed-rate option.

HELOC rates are different from primary mortgage rates, with introductory rates that can increase substantially later. FourLeaf Credit Union is offering a 5.99% APR for 12 months on lines up to $500,000. Rates vary widely, from 6% to 18%, based on creditworthiness and shopping diligence.

Accessing home equity through a HELOC allows homeowners to tap into their equity without giving up their low-rate mortgage. It’s one of the best times to obtain a HELOC for home improvements or other expenses. Monthly payments during the 10-year draw period can increase during the 20-year repayment period.

Read more at Yahoo Finance: Rates fall as holiday cash needs rise