what is the interest rate on a home equity loan

The interest rate on a home equity loan varies widely by lender and the type of product. Generally speaking, home equity lines of credit (HELOCs) have lower starting interest rates than home equity loans, although the rates are variable. Home equity loans have fixed interest rates, which means the rate you receive will be the rate you pay for the entirety of the loan term. As of November 8, 2023, the current average home equity loan interest rate in the five of the largest U.S. markets is 8.94 percent. The current average HELOC interest rate is 9.09 percent. According to other sources, the average interest rate on a home equity loan across all terms is 8.94% as of November 6, 2023. The best home equity loan rates in November 2023 range from 7.99% to 8.13% depending on the loan amount. It is important to note that interest rates can vary depending on the lender, the borrowers credit score, and other factors.