HELOC and home equity loan rates today, February 24, 2026: Existing customers may earn discounts

Core Insights - Home equity lines of credit (HELOC) and home equity loans (HEL) are currently offered at rates in the low- to mid-7% range, with the average HELOC rate at 7.23% and the average HEL rate at 7.44% as of February 24, 2026 [2][13] - Homeowners with low primary mortgage rates may find HELOCs and HELs appealing as they allow access to home equity without refinancing their primary mortgage [4][14] Interest Rates - The interest rates for HELOCs and HELs are influenced by factors such as credit score, debt levels, and the combined loan-to-value ratio, with rates typically based on an index rate plus a margin [5][6] - The current prime rate is 6.75%, which can affect the variable rates of HELOCs, while HELs usually have fixed rates [5][6] Loan Features - HELOCs provide flexibility as they allow homeowners to draw cash as needed, while HELs offer a lump sum with fixed interest rates [3][12] - Some lenders may offer below-market introductory rates for HELOCs, which can last for a limited time before converting to a variable rate [6][9] Lender Considerations - It is advisable for borrowers to shop around for lenders, as rates and terms can vary significantly [6][10] - Home equity loans may be easier to compare due to their fixed rates, eliminating concerns about variable rate changes [12] Payment Structure - For a $50,000 HELOC at a 7.25% interest rate, the monthly payment during the draw period would be approximately $302, but this rate is variable and may increase during the repayment period [15]