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Home Equity HELOCs

Vermont HELOC Rates and Lenders

If you need to access money and have significant equity in your Vermont home, one option to consider is taking out a home equity line of credit (HELOC). Many Vermont HELOCs offer competitive interest rates, including promotional rates.

The state of Vermont is a leader in consumer protection. It limits the interest rates lenders can charge for HELOCs. Here are our top picks for online lenders in Vermont. We’ve also provided several local lenders’ rates below. Remember to compare rates, terms, and fees when searching for the best HELOC.

Best for…
Rating (0-5)
Best overall
Best credit union
Best marketplace

Reviews of the best online HELOCs in Vermont

Here are three online lenders with options available to Vermont residents. We’ve vetted these lenders thoroughly and found that online lenders are often more convenient than local ones. Online lenders might have a faster process to fund a HELOC and may offer competitive interest rates, especially if you have excellent credit.


Best overall

4.9 /5
LendEDU Rating

Why we picked it

Figure is ideal for Vermont residents due to its straightforward online application process and rapid funding times, which may benefit those in rural areas with limited banking options. Figure’s competitive rates and use of blockchain technology ensure secure and efficient transactions, which is crucial for homeowners across Vermont.

  • Fixed interest rates
  • No in-person appraisal is needed
  • Option to redraw up to 100% of funds
  • Funding can be available in as few as 5 days
  • Check your rate without affecting your credit score
Loan details
Rates (APR)6.55%15.54%
Loan amounts$15,000 – $400,000
Draw period5 years
Repayment term5, 10, 15, or 30 years
Funding timeAs few as 5 days
PropertiesPrimary home, second home, or investment property
Credit score640


Best credit union

4.7 /5
LendEDU Rating

Why we picked it

We chose Bethpage Federal Credit Union for Vermont residents because of its strong member-centric approach and competitive rates. As a credit union, Bethpage often offers better terms and personalized customer service, which can be advantageous for Vermont homeowners looking for reliable and community-focused financial services.

  • Borrow $10,000 – $1 million
  • No application, origination, or appraisal fees
  • Convert part of your HELOC to a fixed-rate option
  • 12-month fixed introductory rate for qualified borrowers
  • $0 closing costs
Loan details
Rates (APR)7.24% for 12 months
Loan amounts$10,000 – $1 million
Draw period10 years
Repayment term5, 10, or 20 years
Funding time36 to 70 days, on average
PropertiesPrimary homes, second homes, or condos
Credit score670


Best marketplace

4.5 /5
LendEDU Rating

Why we picked it

LendingTree is an excellent choice for Vermont residents. It provides access to multiple lenders, ensuring borrowers can compare and select the best rates and terms available in the region. This is useful in areas where local lender options might be more limited, and finding the best deal is crucial for homeowners looking to maximize their HELOC benefits.

  • Access to multiple lenders
  • Comprehensive comparison tools
  • Competitive rates
  • Customizable loan options
Loan details
Rates (APR)Starting at 6.24%
Loan amounts$10,000 – $2 million
Draw period2 – 20 years
Repayment term5 – 30 years
Funding timeVaries by lender
PropertiesVaries by lender
Credit scoreVaries, 620 advisable

Local HELOCs in Vermont

Vermont borrowers might prefer doing business with a local institution. Several local banks on this list have existed longer than online lenders, which have become popular in recent years.

If reputation and experience are important to you when it comes to finding a lender, you might be more comfortable banking with a familiar name and a branch located near you.

Here are several local banks and credit unions to consider, with locations in various parts of Vermont. These lenders offer rates comparable to the national average. 

CompanyRates (APR)Location
VSECU8.00% – 18.00%Vermont and Eastern New York
New England Federal Credit Union8.00% – 18.00%Several in Vermont
Union BankStarting at 7.50%Vermont and New Hampshire
Northfield Savings BankStarting at 8.25%Several in Vermont

When comparing local lenders, consider the location. Does a lender have a branch near your home? Consider promotional and variable interest rates, too. Some lenders offer longer promotional rates than others.

What’s the difference between online and local HELOCs in Vermont?

Some online HELOC lenders on this list have lower starting rates than the local banks and credit unions we researched. These online lenders also advertise faster loan distribution, with some reporting that you can get your HELOC funds in days. Local banks and credit unions will have a more traditional lending process that could take longer. 

The best option depends on your situation. You might qualify for a lower interest rate with an online lender if you have excellent credit. However, with average or good credit, it’s possible that online and local lenders will offer you comparable rates.

In Vermont, some local and online lenders offer promotional rates. So, make sure you compare several options to get the best overall HELOC. Consider your comfort level, too. Some people prefer face-to-face interactions at local banks.

How do Vermont HELOC rates compare to other states?

According to the Wall Street Journal, the average HELOC rate as of May 2024 is 8.61% nationwide. Average rates don’t fluctuate much between states, but some states have more lending options.

For example, some online lenders, including Figure, are only available in certain states. Vermont is one of them, meaning if you live there, you can compare local lenders with online lenders.

The lending options on this list show that Vermont lenders offer rates starting from 6.25% to 9.75%, which is consistent with the national average.

Vermont housing market trends

Vermont is an excellent place to own a house. According to Zillow data, Vermont home values have increased by 4.4% in the past year, just above the national average of 4.3%

When home prices go up in value, Vermont homeowners have more equity to use for a HELOC. A Vermont Independent News Source, Seven Days, reported that demand for housing in Vermont still exceeds availability. So homeowners who can’t find larger homes to suit their needs often turn to HELOCS to fund renovations.

How to get the lowest HELOC rates in Vermont

Every lender sets its own minimum credit requirements for HELOCs. You need a credit score of 620 or above for most lenders—sometimes higher. You’ll likely need to provide your employment data so your lender can calculate your debt-to-income ratio.

The higher your credit score, the more likely you’ll be eligible for the most competitive interest rates. In addition to having good credit, many lenders also require you to have 15% to 20% equity in your home before being eligible. Some lenders might also require you to pay for a home appraisal.

If you have sufficient equity and good credit, shop around to secure the best HELOC rate. Compare at least three lenders, including rates, terms, fees, and any available promotions. Don’t go with the first lender you find, or immediately choose your home bank. Comparing multiple lenders can help you find the best overall HELOC.

Are there any Vermont-specific requirements or regulations?

The Vermont Law Review states, “Vermont is a leader” in consumer protection, with many consumer lending laws in place. By law, federal credit unions must cap interest rates at 18%, so your HELOC rate cannot be over 18% in Vermont if you borrow from a credit union such as Bethpage.

Vermont is an equitable property state. That means if you are married and jointly own a home, you can’t apply for a HELOC without your spouse’s consent.

If you secure a second mortgage at a different lender from your primary mortgage, you must let your primary lender know. In Vermont, your first mortgage takes precedence over a HELOC, meaning if your loan goes into default, your debt repayment goes to your primary mortgage lender first.


What credit score do you need for a Vermont HELOC?

Each lender has unique criteria, but most lenders in Vermont require a minimum credit score of 620 to qualify for a HELOC. However, a higher credit score (700 or above) can help you secure better rates and terms. 

What are the typical fees for a Vermont HELOC?

Typical fees for a Vermont HELOC may include:

  • Application fee: $100 – $500 (sometimes waived)
  • Origination fee: 0% – 5% of the loan amount
  • Annual fee: $50 – $75
  • Closing costs: $500 – $2,000
  • Appraisal fee: $300 – $600

Some lenders may waive or reduce these fees as part of promotional offers, so be sure to inquire about fee structures when comparing HELOC options.

Are there any special programs or incentives for Vermont HELOCs?

Yes, some lenders offer special programs or incentives for Vermont residents. These can include lower introductory rates, reduced fees, or discounts for certain groups, such as veterans, teachers, or first responders. Credit unions may also offer member-specific benefits. It’s important to ask lenders about any special programs or incentives that may apply to you.

What happens if I move to another state with a HELOC in Vermont?

If you move to another state while you have a HELOC in Vermont, your HELOC remains tied to your Vermont property. You will still be responsible for making payments according to the terms of your HELOC agreement. 

If you sell your Vermont home, you will typically need to pay off the remaining balance of your HELOC from the proceeds of the sale. Always check the specific terms and conditions of your HELOC agreement. Some lenders may have additional requirements or stipulations for relocation.

How we chose the best Vermont HELOCs

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.

Recap of Vermont HELOC rates and lenders

Best for…
Rating (0-5)
Best overall
Best credit union
Best marketplace