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Still Deciding? Compare Top Lenders Below
Bottom Line: Our Top Cash-Out Option
After evaluating dozens of home equity and refinance lenders, AmeriSave stands out as a strong all-around option. With over $130 billion funded, 20+ years of experience, and a fully digital process that closes most cash-out refinances within 31 days, AmeriSave delivers the speed and credibility homeowners want — whether you're tapping equity, consolidating debt, or locking in a better rate.
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Need Cash Without Refinancing?
Not every homeowner wants to touch their existing mortgage. If you've built up equity and need access to cash, a home equity loan or HELOC lets you borrow against your home's value while keeping your current rate and terms intact. Compare our top picks below to find the option that fits your goals and timeline.
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Home Equity & Refinance 101
What's the difference between a home equity loan and a HELOC?
Both let you borrow against your home's equity, but they work differently:
- Home equity loan: Lump sum upfront, fixed interest rate, predictable monthly payments over a set term (typically 5–30 years). Best for one-time, defined expenses.
- HELOC: Revolving credit line with a variable rate, a draw period to access funds as needed, and a separate repayment period. Best for ongoing or flexible spending needs.
If you value payment predictability, a home equity loan is usually the better fit. If you want the flexibility to borrow over time, a HELOC may make more sense.
Get started in minutesDo I qualify for a home equity loan or HELOC?
Most lenders evaluate a few core criteria:
- At least 15–20% equity in your home
- Credit score of 620 or higher (700+ for the best rates)
- Stable income and employment history
- Debt-to-income ratio below 43%
- Reliable payment history on your current mortgage
Because these loans are secured by your home, lenders may be more flexible with credit requirements than they would for unsecured loans — but stronger profiles will typically get better terms.
Access your equityWhat affects my home equity loan interest rate?
Your rate depends on a combination of personal and market factors:
- Credit score: Higher scores unlock lower rates
- Loan-to-value (LTV) ratio: Borrowing less relative to your home's value helps
- Debt-to-income ratio: Lower DTI signals you can handle additional payments
- Loan amount and term: Shorter terms often mean lower rates but higher monthly payments
- Market conditions: Federal Reserve decisions and broader economic trends shift what lenders offer
Improving your credit and reducing existing debt before applying can make a meaningful difference in the rate you're offered.
Get your ratesHow do I calculate how much I can borrow?
Start with a simple formula: your home's current market value minus your remaining mortgage balance equals your available equity.
Most lenders allow you to borrow up to 80–85% of your home's value, minus what you still owe. For example: a $400,000 home × 85% = $340,000, minus a $250,000 mortgage balance = up to $90,000 in potential borrowing power. Your actual limit will depend on your credit profile, income, and the specific lender's guidelines.
Explore loan optionsWhat fees and costs should I expect?
Closing costs typically run 2–5% of the loan amount. Common fees include:
- Appraisal fee: $300–$600
- Origination fee: 0.5–1% of the loan
- Title search and insurance
- Document preparation and recording fees
Some lenders waive certain fees or offer no-closing-cost options (usually in exchange for a slightly higher rate). Request a Loan Estimate from each lender you're considering so you can compare the true cost side by side.
Get your rates todayFAQs
Refinancing replaces your existing mortgage with a new loan, which may help you change your rate, term, or monthly payment. A cash-out refinance replaces your existing home loan with a new, larger mortgage, allowing you to convert a portion of your home equity into cash.
Home equity options let you borrow against the value you’ve built in your home while keeping your current mortgage in place.
When it comes to a home equity loan or HELOC, lenders can use different formulas to calculate how much you can borrow. The various factors taken into consideration include your creditworthiness, existing debt, your perceived ability to repay the loan, the appraised value of your home, and the loan-to-value ratio (LTV). In general, the higher the amount of equity you have in your home, the bigger the loan amount you could receive.
Home equity is one of the greatest financial benefits of owning a home. You can tap into the equity you built for multiple reasons, including:
- Debt consolidation: Pay off multiple other types of debt with your home equity loan or line of credit to keep your debt organized and potentially get a low interest rate.
- Home renovations: Use your home equity to help pay for important home renovations and improvements, which can in turn increase your home value.
- Medical bills and emergencies: Cover costly medical bills or other unexpected expenses by tapping into your home equity.
- Large purchases: Use your home equity to cover large expenses involved with weddings, buying a new car, or moving houses.
Typically two to six weeks from application to funding. Online lenders tend to move faster than traditional banks or credit unions. To keep things on track, have your documentation ready before you apply — that includes pay stubs, tax returns, W-2s, your current mortgage statement, proof of homeowners insurance, and information about any existing liens. Some lenders may also require a home appraisal. The more prepared you are upfront, the faster the process moves.
How we chose these products
FinanceBuzz evaluated a selection of home equity options offered by our partners, looking at various criteria including customer reviews, loan product variety, years in business, and more. We did not review all products in the category, and compensation was considered when evaluating and ordering the products, but does not affect our editorial ratings.