HELOCs can help homeowners tap into the equity they have in their homes for relatively low-cost funding for things like a home improvement project. Learn more and find the best options below.
Home equity loans let you borrow against the equity you hold in your house. Compare our picks for the eight best home equity loan options, including TD Bank, Spring EQ, Discover, PenFed, Regions Bank, PNC, Navy Federal Credit Union, and Citizens Bank.
With a Leaseback agreement, you can sell your home, get equity out, and continue living in it by renting it back from the buyer. Leaseback agreements free up cash but you may pay above-market rent, and you won’t benefit from some of the perks of homeownership any more.
If you want to tap into home equity without owing payments, an equity sharing agreement could work. Shared equity agreements let you sell equity to investors. These are offered by companies such as Hometap, Patch, Point, and Unison.
Home equity lines of credit, or HELOCs, typically carry variable interest rates, which can make it difficult to gauge the total costs associated with this form of financing. However, these lenders often offer borrowers the option to enter into a fixed-rate HELOC, which may be preferable for borrowers who want flexible financing with predictable repayment.
It can be difficult to qualify for home equity loans with bad credit. But, there are ways to improve your chances of getting a bad credit home equity loan.