Skip to main content
Rose Cove home
Get my plan

Turn home equity into a flexible credit line.

A HELOC functions more like an open line than a fixed loan.

Borrow as neededUsually a variable rateSecured by your home

When a HELOC may make sense

A HELOC can be useful when you expect expenses over time and do not want to borrow the full amount upfront. You use only what you need, when you need it.

HELOC Snapshot

Use your home equity as you need it, up to your credit limit.

Credit line$10,000-$500,000+
Your mortgageStays in place
Draw periodOften a 10-year draw period
Common usesHome projects & ongoing expenses

Find the right HELOC

Choose what matters most and we'll help you compare HELOCs that fit your goals.

Home improvementsFinance renovations over timeDebt consolidationUse equity to simplify high-interest debtLarge expensesEducation, medical expenses or major purchases

How a HELOC works

  1. 1
    Get approved for a credit line
    • The lender reviews your home equity, income, credit and debts to set your limit.
    • You don’t have to borrow the full amount at once.
  2. 2
    Draw what you need
    • During the draw period, you can borrow, repay and borrow again up to your available limit.
    • If your limit is $50,000 and you draw $10,000, you have $40,000 available to draw.
  3. 3
    Make payments during the draw period
    • You make payments on the amount you borrow.
    • Some HELOCs allow interest-only payments; others require payments toward both interest and principal.
    • Most have variable rates, so payments can change.
  4. 4
    Pay off the balance
    • When the draw period ends, you can no longer borrow from the line.
    • You then repay the remaining balance under your lender’s terms, and your monthly payment may rise.

Consider other home equity options

Home equity loanCash-out refinance

Estimate before you borrow

HELOC payment calculatorHome equity calculatorDebt-to-income calculator

Common questions about HELOCs

How much can I borrow with a HELOC?+

Typically up to about 85% of your home's value minus your mortgage balance. Your exact limit depends on the lender and your credit.

How is a HELOC different from a home equity loan?+

A HELOC is a flexible line you draw on as needed. Home equity loans deliver a fixed lump sum one time.

Are HELOC rates fixed or variable?+

Usually variable, so your payment can change over time, though some lenders offer fixed-rate draw options.

What happens when the draw period ends?+

You enter the repayment period and can no longer draw funds; payments rise as you repay principal plus interest.

Can I lose my home with a HELOC?+

Yes. Your home is the collateral, so falling behind on payments can put it at risk. Borrow only what you can comfortably repay.

Not sure which option fits?

Get personalized recommendations for your situation.

Find My Next Best Move