Why you should choose a higher HELOC rate over a home equity loan now

  • 📰 CBSNews
  • ⏱ Reading Time:
  • 15 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 9%
  • Publisher: 68%

Loans Loans Headlines News

Loans Loans Latest News,Loans Loans Headlines

A higher HELOC interest rate now may be better than the lower home equity loan rate option. Here's why.

Interest rates on borrowing products have surged in recent years thanks to the pandemic, inflation and multiple hikes to the federal funds rate. But the interest rate climate is evolving again, with recent reports showing a further cooling in the inflation rate . Inflation hovers just around 3% now and, if it continues to fall, the Federal Reserve could issue its first interest rate cut of 2024. So borrowers could soon see relief on everything from mortgages to student and personal loans.

While this is a drawback in a climate in which rates are heading upward, it can be a benefit this summer and into 2025, particularly now, when the average homeowner has hundreds of thousands of dollars worth of equity to tap into.See how much home equity you could use with a HELOC here.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 87. in LOANS

Loans Loans Latest News, Loans Loans Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Is a HELOC or home equity loan better to borrow $80,000?Are you looking to borrow $80,000 of home equity but aren't sure which way to proceed? Here's what to consider now.
Source: CBSNews - 🏆 87. / 68 Read more »

Should you use a HELOC to pay your kid’s college tuition?Home equity could provide an ample source of college funding, but borrowing against it is a financially risky move.
Source: mercnews - 🏆 88. / 68 Read more »

Is a home equity loan or HELOC the better way to borrow $100,000?Do you need to access $100,000 worth of home equity? Here's how to determine the best way to do so.
Source: CBSNews - 🏆 87. / 68 Read more »

3 reasons to use a HELOC to pay your credit cards off right nowAre you dealing with mounting credit card debt? Here are a few reasons you should use a HELOC to pay it off.
Source: CBSNews - 🏆 87. / 68 Read more »