Home Equity Line of Credit (HELOC)

Let a HELOC help you with that remodeling project.

  • Use your home as collateral
  • You only pay interest on the funds you use
  • They have lower interest rates than many credit cards and lines of credit

A HELOC uses your home as collateral to give you access to a sizable line of credit.

They are structured as variable interest loans, which means the interest rate on your HELOC is subject to change over time.

HELOCs are good if you need access to cash over a specific period of time. For example, HELOCs are often used to fund home remodels. This is because the structure of a HELOC allows for cash to be withdrawn as needed and only pay interest on the funds used for the first 10 years. When a contractor needs to be paid during different stages of the remodeling process, you have the freedom to withdraw the needed funds without having to get another loan approval. Other uses include:

  • Paying off high-interest credit card debt
  • Life changing events, weddings or unforeseen medical expenses

Consult a tax advisor regarding the deductibility of interest.

NMLS ID #649058. Mortgages available in Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon, Texas (1st TD only), Utah and Washington.

For mortgages in all other states click here