HELOC rates today, October 7, 2025: Rates hold under 8.5%

Core Insights - Current HELOC interest rates are below 8.5% APR, with a national average of 8.47% for a 10-year draw HELOC, and introductory rates around 5.99% [1][2] - Homeowners have over $34 trillion in home equity, the third-largest amount on record, making HELOCs an attractive option for accessing this value without selling their homes [2] - The prime rate is currently at 7.25%, influencing HELOC rates which are typically based on this index plus a margin [3] Group 1: HELOC Rates and Trends - Bank of America offers HELOC rates ranging from 7.80% to 9.34% APR, reflecting the variability in lender pricing [2][4] - Introductory rates for HELOCs can be significantly lower but may adjust to higher rates after an initial period, emphasizing the importance of comparing offers [4][7] - The flexibility of HELOCs allows homeowners to borrow as needed, with interest only on the drawn amount, making it a strategic financial tool [8] Group 2: Usage and Benefits of HELOCs - HELOCs provide homeowners with a way to access equity without refinancing their low-rate primary mortgages, allowing for continued wealth building [5][6] - They can be used for various purposes, including home improvements and personal expenses, but should be managed carefully to avoid long-term debt [10] - Monthly payments on a $50,000 HELOC can be around $375, highlighting the affordability of borrowing against home equity [11]