Home equity lines of credit and home equity loans are trading just above their 2025 lows, with HELOC rates averaging 7.23% and home equity loans at 7.44% as of February 8, 2026. These rates remain attractive for homeowners looking to tap into their accumulated equity without refinancing their primary mortgages. The Federal Reserve estimates U.S. homeowners have $34 trillion in home equity available.

With primary mortgage rates hovering near 6%, many homeowners are reluctant to refinance and lose their low-rate mortgages. HELOCs and home equity loans offer a solution by allowing borrowers to access cash while keeping their existing mortgages intact. The best HELOC lenders are offering rates as low as 6.13% for credit lines of $150,000, though these typically come with variable interest rates that can fluctuate over time.

Lenders have flexibility in pricing second mortgage products, with rates based on the prime rate plus a margin. Shopping around is crucial, as rates can vary significantly based on credit score, debt levels, and loan-to-value ratios. While average national rates include introductory offers that may last only six months to a year, home equity loans typically offer fixed rates throughout the repayment period, providing more predictability for borrowers.