National Average HELOC Interest Rates Remain Below 8%
Nationally, the average home equity line of credit interest rate remains under 8%, according to the analytics company Curinos. A HELOC is a flexible, cash-on-demand home equity tool that keeps your low primary mortgage rate intact.
If you’re a homeowner looking to tap into the equity in your home, a HELOC could be a great option for you. According to Curinos data, the average weekly HELOC rate is currently 7.64%, the lowest it has been so far in 2025. This rate is based on applicants with a minimum credit score of 780 and a maximum combined loan-to-value ratio (CLTV) of 70%.
Homeowners have a significant amount of value tied up in their houses, with nearly $36 trillion in home equity at the end of the second quarter of 2025, according to the Federal Reserve. This represents the largest amount of home equity on record.
With mortgage rates hovering above 6%, many homeowners are reluctant to give up their low-rate primary mortgage. In such cases, selling the house or opting for a cash-out refinance may not be the best solution. Why let go of a 5%, 4%, or even 3% mortgage?
Accessing the equity in your home through a HELOC can be a viable alternative. HELOC interest rates are different from primary mortgage rates, as second mortgage rates are based on an index rate plus a margin. Typically, the index rate is the prime rate, which has recently fallen to 7.00%. If a lender adds a margin of 0.75%, the HELOC rate would be 7.75%.
Lenders have flexibility in pricing second mortgage products like HELOCs, so it’s essential to shop around for the best rates. Your specific rate will depend on factors such as your credit score, existing debt, and the amount of your credit line relative to your home’s value.
It’s worth noting that average national HELOC rates may include introductory rates that only last for a limited time. After the introductory period, your interest rate may become adjustable, potentially starting at a much higher rate.
Instead of giving up your low-rate mortgage, you can keep it and explore options like a HELOC to access your home equity. The best HELOC lenders offer low fees, a fixed-rate option, and generous credit lines, allowing you to use your equity as needed and repay it at your own pace.
If you’re considering a HELOC, make sure to compare fees, repayment terms, and the minimum draw amount required by different lenders. The power of a HELOC lies in its flexibility, allowing you to borrow only what you need and leaving the rest of your credit line available for future use.
While HELOC rates can vary significantly from one lender to another, it’s essential to research and find the best option for your financial situation. With low primary mortgage rates and ample equity in your home, now might be one of the best times to consider a HELOC for home improvements, repairs, or other expenses.
Remember to borrow responsibly and pay off the balance within a reasonable timeframe to make the most of your HELOC without accruing long-term debt. With careful planning and discipline, a HELOC can be a valuable tool for leveraging your home equity while maintaining your low-interest primary mortgage.
