Images by GetTyimages. Illustrations by bankrate
According to Bankrate’s National Lenders Survey, this week’s big jump in HELOCS: the average rate for the $30,000 home equity line rose 15 basis points to 8.14% (particularly affected by an increase in Midwest institutions). Meanwhile, home equity loan fees remained almost flat. For the fourth consecutive week, the average $30,000 home equity loan has contracted at 8.36%, retaining its low status in 2025.
Rich Martin, director of real estate lending solutions at Curinos, a New York-based data analytics firm, said despite recent HELOC Rise, it’s a good time for homeowners to take advantage of their own equity. Credit card debt has risen, home values have risen, and most major mortgage holders are sitting at the rate at under 5%. “Everything supports Home Equity products as sound products for homeowners to leverage their funding needs.”
| the current | 4 weeks ago | 1 year ago | 52-week average | 52 weeks low | |
|---|---|---|---|---|---|
| helic | 8.14% | 8.02% | 9.17% | 8.67% | 7.90% |
| 5 Years of Home Equity Loan | 8.36% | 8.40% | 8.66% | 8.46% | 8.35% |
| 10 Years of Home Equity Loan | 8.52% | 8.53% | 8.79% | 8.59% | 8.46% |
| 15 years of home equity loan | 8.42% | 8.44% | 8.79% | 8.53% | 8.37% |
| Note: The home equity rate for this study is assumed to be a $30,000 line or loan amount. | |||||
What is your home equity rate today?
Fees for Helocs and Home Equity Loans are driven by two major factors: This is a lender’s competition for minimum time conditions and Federal Reserve litigation. The Fed especially affects the cost of variable-rate products, including Helocs.
Helocs and Home Equity Loans have fallen sharply from their hit highs in early 2024, with Heloc rates not seen, particularly after 2023. Bankrate Chief Financial Analyst Greg McBride predicts that Helocs in 2025, in particular, could reach its lowest level in three years.
Current hOmelette rate vs. other types of credit rates
Because Helocs and Home Equity Loans use their homes as collateral, the fees tend to be much cheaper than the interest charged on credit cards or personal loans.
| Average rate | |
|---|---|
| helic | 8.14% |
| Home Equity Loan | 8.36% |
| Credit Card | 20.12% |
| Personal loan | 12.26% |
| Source: National survey of lenders, May 14th | |
Of course, the individual offers you receive on a particular HELOC or a new home equity loan reflect additional factors such as creditworthiness. Then there is the value of your home and your ownership. Lenders generally limit all home loans (including mortgages) to up to 80-85% of the value of your home.
Home equity products remain relatively expensive debt, according to Ted Rossman, senior industry analyst at Bankrate.
“Three years ago, the average HELOC rate was below 4%,” Rothman said. “If I lose my job, if I could regret it, if I could regret it, I wouldn’t borrow $50,000 for an 8% home renovation.
