home equity

Home Equity Rates for July 7, 2011



I'm Greg McBride, senior financial analyst with Bankrate.com and here is your weekly look at home equity rates.

Home equity rates pulled back this week as several lenders cut rates. The average variable rate home equity line of credit retreated to 5.55 percent, a point last seen in May. Rates on home equity lines have been fairly static, particularly over the last 7 months.

In contrast, fixed rate home equity loans have resumed the downward trend of the past 2 years, setting a record low for the 2nd straight week. The average rate on a home equity loan is currently 6.8 percent.

While 1/3 of homeowners have no equity to work with, many longtime owners have plenty of equity and find the cost of tapping that equity to be very attractive. To manage risk, lenders typically limit borrowers' total mortgage and home equity debt to no more than 80% of the home's value.

For more information on home equity loans and home equity lines of credit, and to check home loan rates in your area, go to Bankrate.com.

I'm Greg McBride.



Show Bankrate's community sharing policy
          Connect with us

A little research could save you BIG on interest.

Don't have time? Our rate-tracker tool saves you time and money. Delivered Thursdays.
Partner Center


Tara Baukus Mello

Most kids out of boosters too soon

A new study found that 90 percent of parents are letting their children ride in a seatbelt without a booster seat before it is safe for them to do so.  ... Read more

Connect with us