economy
$50,000 Home Equity Loan vs. $50,000 HELOC: Here's Which Costs Less Per Month Now
We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms.
TL;DR
- Homeowners have access to a record amount of home equity.
- Rates on home equity loans and HELOCs have remained affordable and even declined.
- The average HELOC interest rate is down over two percentage points from 18 months ago.
- A $50,000 home equity loan at 6.96% for 10 years costs $579.51 per month, and for 15 years costs $448.30 per month.
- A $50,000 HELOC at 7.11% for 10 years costs $583.38 per month, and for 15 years costs $452.49 per month.
- Both loan types are less expensive now compared to December 2025 and September 2025.
- HELOCs are variable-rate products that could become more affordable, while home equity loans have fixed rates.
- Homeowners should carefully evaluate both options and consider speaking with multiple lenders.