HELOC and home equity loan rates average around 7.5%, a multi-year low. Average monthly HELOC rate is 7.25%, home equity loan rate is 7.56%. Rates based on a credit score of 780 and CLTV less than 70%. Homeowners have $34 trillion in equity. Second mortgage products can provide access to that value.

HELOC interest rates are based on an index rate plus a margin, often prime rate. Home equity loan has a fixed rate. Rates depend on credit score, debt amount, and credit line compared to home value. Introductory rates for HELOC may be temporary. Best to shop around for rates and terms.

Best HELOC lenders offer low fees, fixed-rate options, and generous credit lines. Look for below-market introductory rates. Consider minimum draw amount. Best home equity loan lenders offer fixed rates for the repayment period. Compare fees and repayment terms. Rates vary by lender and location.

For homeowners with low primary mortgage rates and significant equity, now is a good time to consider a HELOC or home equity loan for cash needs. HELOC payments can increase over time due to variable rates. Best if balance is repaid within a shorter period. Consider using cash for home improvements, repairs, or upgrades.

Read more at Yahoo Finance: Why now is a smart time to tap home equity