What to know about home equity loan rates this July Home equity loans typically have fixed interest rates , so they're not as directly tied to the Fed's moves in monetary policy.

Home equity loan interest rates are down a bit compared to a year ago, largely thanks to the Federal Reserve's late-2024 rate cuts. Case in point: A 5-year home equity loan averaged nearly 9% in ...

Home equity loan interest rates could fall, however, if broader economic factors point to an inevitable, sooner-than-anticipated Fed cut. So, if inflation drops dramatically in January, for ...

15-Year Home Equity Loan Rates (180 Months) A 15-year term provides lower monthly payments compared to shorter terms, offering more affordability while still progressing toward your financial goals.

30-Year Home Equity Loan Rates (360 Months) The 30-year term maximizes affordability with the lowest monthly payments. These options are best for substantial borrowing needs and long-term investments.

The first quarter is typically the slowest for home equity lending, but lower interest rates in early 2025 helped to boost activity. June 2, 2025, 2:40pm by Flávia Furlan Nunes.

To put that into real numbers for you, the average home equity loan interest rate is 8.41%, almost three times lower than the average credit card interest rate of 23.37%.

Current home equity interest rates, Bankrate. Accessed July 6, 2025. Publication 502 (2024), Medical and Dental Expenses, IRA. Accessed July 6, 2025.

5-Year Home Equity Loan Rates (60 Months) A 5-year term offers a shorter repayment period with typically higher monthly payments. These products are suitable for borrowers looking for a quicker ...