Best Colorado HELOC Lenders and Rates [2024]

A home equity line of credit (HELOC) is a flexible way to tap into your home’s equity for things like renovations, paying off debt, or other major expenses. In Colorado, the use of HELOCs has been on the rise, with the state experiencing some of the fastest growth in HELOC balances in the nation following several years of rapid home value appreciation across the state.

With Colorado leading the way in HELOC uptake, it’s clear that many homeowners are taking advantage of the equity built up during this period of growth. In this guide, we’ll walk you through everything you need to know about finding and applying for the best HELOCs in Colorado, so you can make the most of your home’s value.

Company	Rates (APR)	Our rating
Figure	8.80% – 17.45%	4.9/5
Aven	6.99% – 15.49%	4.8/5
Bethpage FCU	Starting at 8.50%	4.7/5
LendingTree	Starting at 6.99%	4.5/5

Reviews of the best HELOCs in Colorado

We’ve researched the best HELOC lenders to narrow the list to those available to homeowners in Colorado.

Figure

Best Overall HELOC

4.9 _/5

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Why it’s one of the best in Colorado

Colorado homeowners in the market for a HELOC should consider Figure as a top choice. With its 100% online application process, homeowners can experience a seamless and efficient application, getting approval in as little as five minutes. This feature is notable for those in need of fast access to their funds: Figure promises funding in just five days. 

A unique aspect of Figure’s HELOC is the initial draw feature. When you borrow, you must draw the full loan amount minus any origination fee at once. As you repay your HELOC balance, you can make additional draws. 

The interest rates on additional draws are determined by the prime rate from the previous month plus a fixed margin. The rate could be higher than your initial rate, but it offers flexibility if you need access to more funds during your loan term.

• Streamlined application process is 100% online, and in most cases, you don’t need an in-person appraisal.
• Fast approval and funding, often within 5 days of the application.
• Flexible HELOC terms give you the ability to redraw up to 100% of your loan amount.

Rates (APR)	7.90% – 16.10% fixed
Loan amounts	$20,000 – $400,000
Minimum credit score	640
Repayment terms	5, 10, 15, and 30 years
Fees	Origination fee (0% – 4.99%)

Aven

Best Customer Reviews

4.8 _/5

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Why it’s one of the best in Colorado

Aven stands out among HELOC lenders with its innovative approach, offering a five-year draw period and the flexibility to repay and borrow again as needed. Aven’s HELOC comes with a fixed interest rate, giving borrowers stability in their monthly payments.

The fully digital application process allows you to check your rate in just a few minutes without impacting your credit score. Approval can be quick, with some customers receiving the green light within 15 minutes.

Aven also offers an optional protection program through Securian, providing up to six months of minimum payment coverage if you become unemployed. With thousands of positive customer reviews, Aven is highly rated for its transparency and borrower-friendly features.

• 5-year draw period with flexibility to repay and draw again
• Optional Debt Protection program through Securian
• Approval in as little as 15 minutes
• 100% digital application process
• Over 3,450 positive customer reviews
• Check your rate with no credit impact

• 4.90% first-draw fee

Rates (APR)	6.99% – 15.49%
Loan amounts	$5,000 – $250,000
Minimum credit score	640
Repayment terms	Draw: 5 years / Repayment: 5, 10, 15, or 30 years
Fees	4.90% first-draw fee

Bethpage FCU

Best Credit Union

4.7 _/5

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Why it’s one of the best in Colorado

Bethpage FCU offers a HELOC that allows you to access funds when you need them. With a HELOC from Bethpage, you’re not just getting a loan; you’re getting a lower interest rate and more flexibility compared to other types of loans. 

Plus, it offers a fixed-rate option for those who want predictable monthly payments. Bethpage’s streamlined process means you can typically access your funds in just 34 days, letting you tackle your projects faster.

A Bethpage membership is a requirement since it’s a credit union. The lender makes membership easy; you just need to open a minimum $5 share savings account at or prior to your HELOC account opening. 

• Lock in a competitive fixed-rate introductory offer for the first 12 months.
• Access up to $500,000 to use however you’d like.
• Convert part of your variable-rate HELOC to a fixed-rate loan at no extra cost.

Rates (APR)	6.99% fixed for 12 months, then as low as 8.50% variable APR
Loan amounts	$25,000 – $500,000
MInimum credit score	720 (for best introductory rate)
Repayment terms	5, 10, or 20 years
Fees	Bethpage covers all fees for lines up to $500,000 (but if HELOC is closed within the first 36 months, you must repay these fees)

LendingTree

Best Marketplace

4.5 _/5

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Why it’s one of the best

LendingTree stands out as a top choice for home equity loans because it allows you to easily compare multiple loan offers from various lenders after submitting just one application. This streamlined process helps you find the best rates and terms.

With its network of lenders, you can access a wide range of loan amounts and repayment terms. Whether you’re interested in a traditional home equity loan or a HELOC, LendingTree offers the flexibility to choose the best solution for your situation.

• Compare multiple lenders in seconds
• No impact on your credit score
• No fees

Rates (APR)	Starting at 6.99%
Loan amounts	$10,000 – $2 million
Minimum credit score	None
Repayment terms	5 – 30 years
Fees	Vary by lender

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Our expert advises: Consider your local bank or credit union, especially if you already have an account

Erin Kinkade

CFP®

Having a relationship may provide benefits, such as lower rates based on the length of the relationship, peace of mind that you can go to a place of business to speak with your lender, and other perks connected to their checking, savings, or investment account.

About HELOC rates in Colorado

Colorado’s HELOC rates tend to align with national averages, but local economic factors and demand may cause slight variations. Recently, the state has seen rapid growth in HELOC balances, with a 15% increase into the first quarter of 2024. This growth has been fueled by the appreciation of home values, making HELOCs an attractive option for many Colorado households.

Despite ranking closer to the middle in terms of home value growth, Colorado led most of the nation in HELOC balance and tradeline growth. Many households may have been motivated to tap into their home equity due to the significant appreciation in home prices over the last several years.

This increase in home equity has not only made homeowners more willing to take out a HELOC but has also raised the maximum loan amounts they can qualify for.

As of 2024, the lowest starting HELOC rates in Colorado are around 6.99%, though the actual rate will depend on factors like your credit score and the lender’s terms. The average HELOC rate is currently between 9 and 11%, but this can vary based on individual circumstances.

How your HELOC rate affects your overall loan cost

Your HELOC’s interest rate has a significant impact on your overall loan cost. Essentially, the rate determines how much you’ll pay in interest over the life of your line of credit. A higher rate means you’ll pay more in interest; a lower rate means you’ll pay less. Whether your rate is fixed or variable also plays a role.

A fixed rate remains constant throughout the loan, giving predictable costs. However, a variable rate tied to an index—for example, the U.S. prime rate—can fluctuate. If the index rises, so do your interest rate and monthly payments. And if it drops, you’ll pay less.

For instance, if you borrow $50,000 from a HELOC at a fixed 5% interest rate, and the rate remains unchanged, your interest cost will be predictable. But with a variable rate starting at 5% that jumps to 7% after a year, your interest cost would be higher during the period of the rate increase: 

	Fixed rate: 5%	Variable rate: 5% → 7%
Year 1	$2,500	$2,500
Year 2	$2,500	$3,500
Total	$5,000	$6,000
Difference	—	$1,000

Note: The amounts in the table above reflect interest only.

How to get the lowest HELOC rates in Colorado

A combination of factors influence eligibility for a HELOC in Colorado. But your credit score takes center stage. A higher credit score often translates to a lower interest rate because lenders see you as a lower risk. 

Besides credit score, lenders assess the value of your home, the equity you’ve built, your debt-to-income ratio, and your employment history.

To get the lowest HELOC rate in Colorado:

• Boost your credit score. Make on-time payments on all debts, and keep your credit utilization low. Regularly review your credit report for any discrepancies, and dispute any mistakes you notice with the credit bureau reporting them.
• Build more equity. The more equity you have in your home, the more attractive you become to lenders.
• Maintain steady employment. Lenders prefer you to have a stable income source, whether from a job, government benefits, or investments.
• Shop around for the right lender. Different lenders have unique criteria and might offer varied rates based on your situation. By getting multiple quotes, you can find the best terms.

How to apply for a HELOC in Colorado

Following these steps can help you apply for a HELOC in Colorado with the best rates and terms. 

1. Assess your needs. Before diving in, determine how much you need and how you plan to use the funds. This will guide the amount you request.
2. Check your credit score. Knowing your score beforehand will give you an idea of the rates you’re eligible for. Aim for a higher score, which can secure you a lower interest rate.
3. Gather your documents. Many lenders request recent pay stubs, proof of employment, tax returns, details about your current mortgage, and information on property taxes and insurance.
4. Research lenders. Don’t settle for the first lender you find. Research multiple options, including local credit unions, banks, and online lenders. Compare rates, terms, and fees.
5. Apply. Once you’ve selected a lender, initiate the application process. You can usually apply online, but you may also have the option to do it in person or over the phone.
6. Get a home appraisal. The lender will likely order a home appraisal to determine its current value and the equity you’ve built.
7. Wait for approval and review terms. If you’re approved, the lender will provide terms and conditions. Review them carefully, and accept the offer if they align with your needs.

FAQ

What is the lowest HELOC rate in Colorado?

The lowest starting HELOC rate we’ve seen in Colorado from our list of lenders is 6.99% APR as of 2024. However, the exact rate you qualify for may be lower or higher, depending on the market rate at the time you apply and the lender’s terms.

What HELOC has the highest rates in Colorado?

The highest HELOC rates in Colorado often depend on your credit profile. If you have bad credit, you might get stuck with these higher rates. To ensure you aren’t taking on too much debt, compare lenders, and understand your credit score before applying.

What is the current average HELOC rate in Colorado?

The average HELOC rate in Colorado in September 2024 is between 9 – 11% APR. But individual rates can vary based on several factors, including your credit profile and the equity you have in your home. 

Will my Colorado HELOC have insurance requirements?

Yes, your Colorado HELOC will typically have insurance requirements. Most lenders require borrowers to maintain adequate homeowner’s insurance to protect the property serving as collateral. In some cases, especially if your property is in a flood-prone area, flood insurance may also be mandated. 

Do any lenders not offer HELOCs in Colorado, and why not?

Some lenders don’t offer HELOCs in Colorado. The reasons can vary, but common ones include the lender’s specific business model, regional regulations, or a strategic decision not to participate in the Colorado market. If you’re interested in a specific lender, check its website for details on whether it serves a specific region.

How we selected the best HELOCs in Colorado

Since 2018, LendEDU has evaluated home equity companies to help readers find the best home equity loans and HELOCs. Our latest analysis reviewed 850 data points from 34 lenders and financial institutions, with 25 data points collected from each. This information is gathered from company websites, online applications, public disclosures, customer reviews, and direct communication with company representatives. These star ratings help us determine which companies are best for different situations. We don’t believe two companies can be the best for the same purpose, so we only show each best-for designation once.

Company	Rates (APR)	Our rating
Figure	8.80% – 17.45%	4.9/5
Aven	6.99% – 15.49%	4.8/5
Bethpage FCU	Starting at 8.50%	4.7/5
LendingTree	Starting at 6.99%	4.5/5