KeyBank: 2022 Home Equity Review

KeyBank is headquartered in Cleveland, Ohio, and is part of KeyCorp, which was formed in 1994 with the merger of Society Corp. and KeyCorp. KeyBank can trace its history to two banks: the Commercial Bank of Albany, New York (founded in 1825) and the Society for Savings from Cleveland, which was founded in 1849. KeyBank operates in 15 states and has 1,000 full-service branches.

In addition to home equity loans and HELOCs, KeyBank offers credit cards, checking and savings accounts, mortgages, investment accounts and personal loans.

With minimum loan amounts starting at $10,000 for HELOCs and $25,000 for home equity loans, KeyBank may be a good choice for those who are seeking a substantial loan amount.

KeyBank snapshot

Loan types offered	Home equity loan, HELOC
APR range	Home equity loan: Varies by zipcode HELOC: Varies by zipcode
Loan amount range	Home equity loan: Starting at $25,000 HELOC: Starting at $10,000
Minimum credit score required	Not specified
Repayment terms	Home equity loan: Up to 30 years HELOC: Not specified
Average time to approval	Not specified

Benefits

KeyBank offers several types of lending products. Here are a few of the benefits to home equity loans or HELOCs with KeyBank:

• Rate discount: You can get a 0.25 percent discount on your loan if you have a KeyBank checking and KeyBank savings account.
• Option to lock in fixed payments: KeyBank HELOCs allow borrowers to lock in a fixed interest rate in order to protect against fluctuating rates and stabilize your monthly payments.
• High combined-loan-to-value-ratios (CLTV): Wou can borrow up to 90 percent of your home’s value with the bank’s high-value HELOC or home equity loan.

Drawbacks

While there are many benefits to getting a home equity loan product from KeyBank, there are a few things to keep in mind:

• Limited availability: You must be a resident of one of these states to apply for a home equity loan with KeyBank: Alaska, Colorado, Connecticut, Idaho, Indiana, Massachusetts, Maine, Michigan, New York, Ohio, Oregon, Pennsylvania, Utah, Vermont or Washington. KeyBank does not offer HELOCs in Washington, D.C. and all states except Alabama, Arizona, California, Nevada and Texas.
• Early termination costs: Those who repay a home equity loan, or close a HELOC, within 36 months will be required to repay fees KeyBank paid to third parties to establish the loan. These fees may include appraisal costs, title cost, flood certification fees and in some cases mortgage taxes.

Types of fees charged

KeyBank charges an origination fee of $295 for home equity loans and a $50 annual fee for home equity lines of credit. Additionally, while you won’t be charged for some closing costs upfront, KeyBank will require you to repay certain closing costs if you pay your loan off and close your account within 36 months, including appraisal and title costs, flood certification fees and mortgage taxes.

Loan products offered

KeyBank offers home equity loans and home equity lines of credit (HELOCs). The standard home equity loan or HELOC allows up to 80 percent combined loan-to-value (LTV). There is also a high-value home equity loan or HELOC that allows 80.01 percent to 90 percent combined loan-to-value.

Home equity loans have terms as long as 30 years, with APRs starting at 2.65 percent. HELOCs start at $10,000, with APRs as low as 2.5 percent. These rates include a 0.25 percent discount for borrowers who have KeyBank savings and checking accounts. KeyBank’s rates may vary by location; these figures are for the 48837 ZIP code.

How to qualify for a home equity loan with KeyBank

You don’t have to have a previous relationship with KeyBank to qualify for a home equity loan or HELOC, but if you sign up for a checking and a savings account, you’ll get a rate discount. You can borrow up to 90 percent of your home’s value, but if you are borrowing more than 80 percent, your interest rates will be higher. KeyBank doesn’t specify a minimum credit score or income.

To access loans offered by KeyBank, you must be 18 years or older and live in a state where the bank operates.

How to get started

You can apply for your home equity loan or HELOC with KeyBank at a branch or online. Application process typically requires providing financial information such as tax returns and financial statements.

How Bankrate rates KeyBank

Methodology

To create our Bankrate Scores, we evaluated lenders based on availability, affordability and customer experience. Availability was assessed based on the minimum loan amount required, time to approval, days to close, minimum draw requirements, minimum credit score requirements and loan types offered. Affordability was assessed based on minimum APR, discounts and promotions offered and associated fees. Customer experience was assessed based on online application and account availability, customer support, auto payment availability and mobile app availability and ratings.