Competitive Home Equity Loan Rates from a Trusted Lender
Work with us to get approved now for your home equity loan from an Omaha lender you can trust. Get the most competitive rates that will give you peace of mind for the future. Our experienced loan officers will help you determine which product is best for you. Find out how quickly you can get approved today.
What Is Home Equity and How Can I Build It?
Home equity is the appraised value of your home minus any existing loans and outstanding mortgage. There are a few different ways to build your home equity, the simplest of which is making your mortgage payments. When you make those payments you are decreasing the debt you owe, which in turn increases the value of your home. By paying more than your minimum payment, you can build up equity on your home more quickly. You can also increase your equity by making a larger down payment than required.
Another great way to build your equity is through renovating and improving your property’s value. Popular options are bathroom and kitchen renovations, but there are a myriad of other opportunities for raising your property value. Replacing old windows, installing new insulation, replacing the siding, and even adding outdoor structures like decks or fences can all lead to an increase in your home’s value.
By building more equity, you will not only see a greater return if you decide to sell your home, but you can also use it to get a home equity loan or home equity line of credit.
About our Home Equity Loans & Lines of Credit
How Home Equity Loans Work
A home equity loan is a way to obtain money using your home as collateral. Essentially, it's a second mortgage on your home that gives you a lump sum of money to use for things like home renovations, emergency expenses, and more. Since you're using your home as collateral, you're able to receive low fixed rates. This is also ideal for any large expenses, since your home equity loan will have stable and predictable monthly payments.
Advantages of Home Equity Fixed-Rate Loans
- Lower interest rates than other common loan options
- Fixed rates with predictable payments
- One of the best loan options for large sums of money
- Great for large projects that you'll complete at once (such as a bathroom renovation)
How Home Equity Line of Credit Work (HELOC)
A HELOC is similar to home equity loans in most ways, except you're not receiving a lump sum, nor is it a fixed rate. Instead of getting a loan for a specific amount, you get approved for an amount you can borrow on an as-needed basis. You can pay off what you've borrowed, and then borrow again, making a HELOC a very flexible loan option. It’s similar to how a credit card works. A HELOC is ideal for more minor renovation costs that present themselves over a longer period of time.
Check this out: What you should know about Home Equity Lines of Credit.
Advantages of HELOC
- Borrow when you need it
- Pay off your current balance at any time and borrow again
- Flexibility in how the funds are used
- Great for homes that need ongoing repairs
Home Equity Line of Credit
Our Omaha Home Equity Line of Credit, or HELOC, is a line of credit using the equity in your primary residence. The rate is variable and based on Wall Street Journal Prime Rate plus a margin of 1% - 2.5%. The APR can change every January and July. The draw period is five (5) years and the maximum repayment term is ten (10) years.
|Combined Loan to Value (LTV)||Line Amount||Annual Percentage Rate (APR*)|
Variable Rate – minimum Annual Percentage Rate (APR) is 4.50%. Maximum APR is 18.00%. The HELOC APR may vary after consummation & adjusts every January 1 and July 1. The APR is based on the Wall Street Journal Prime Rate plus a margin of 1 – 2.50%. Draw period is 5 years. Repayment period is 10 years. Appraisal will be required. Property insurance is required. Consult your tax advisor for deductibility of interest. Subject to credit approval. Other restrictions may apply. Payment example: $25,000 for 10 years at 8.5% APR, monthly payments would be approximately $309.98.
This product is a fixed term and a fixed rate using the equity in your primary residence.
|Combined Loan to Value (LTV)||Term||APR as low as*||Approx Loan Payment**|
|80% LTV||60 months||5.99% APR||$483.21|
|80% LTV||120 months||6.49% APR||$283.78|
|80% LTV||180 months||6.99% APR||$224.62|
|90% LTV||60 months||6.99% APR||$494.91|
|90% LTV||120 months||7.49% APR||$296.66|
|90% LTV||180 months||7.99% APR||$238.82|
Appraisal will be required. Property insurance is required. Consult your tax advisor for deductibility of interest. Subject to credit approval. Other restrictions may apply. Take 0.50% off the stated rates if you are an existing member who uses KCU as your primary financial institution and automatic payments for this loan are set up. Qualifying factors include: active checking account with payroll deposit, actively used debit card, average daily balance over $50.00, and signed up for e-statements.
*APR = Annual Percentage Rate. Other restrictions may apply. Based on credit worthiness.
** Loan payment estimates based on a $25,000 loan.
Loan protection is a smart choice that will give you peace of mind. We don’t want to think about the worst … we just want you to be prepared for it.
Loan protection is customized to your needs so that your debts are suspended, or sometimes even cancelled, when a life-changing event prevents you from making your payments on time, and it also helps safeguard your credit score. You shouldn’t be penalized for something that is out of your control.
It’s impossible to know everything that life will throw at you, but you can rest easier knowing that your family will be protected in the event of the unexpected. Coverage available for death, disability, and involuntary unemployment.
TruStage Home Insurance
Call 1-888-380-9287 to receive a quote for member discounted home insurance.