HELOC rates today, July 20, 2025: Home equity line of credit rates are unchanged, remaining under 9%
A HELOC allows you to qualify once and then use it again and again. Home improvements? As you wish. Unexpected expense? You're already approved. High-interest credit card debt? Paid off.
Now, the details on the HELOC rate today.
Dig deeper: Is it a good idea to get a HELOC? Here are the pros and cons.
This embedded content is not available in your region.
HELOC rate Sunday, July 20, 2025
According to Bank of America, the largest HELOC lender in the country, today's average APR on a 10-year draw HELOC remains 8.72%. That is a variable rate that kicks in after a six-month introductory APR of 6.49% in most U.S. states.
Homeowners have a staggering amount of value tied up in their houses — more than $34 trillion at the end of 2024, according to the Federal Reserve. That's the third-largest amount of home equity on record.
With mortgage rates lingering in the high 6% range, homeowners are not going to let go of their primary mortgage anytime soon, so selling a house may not be an option. Why let go of your 5%, 4% — or even 3% mortgage?
Accessing some of that value with a use-it-as-you-need-it HELOC can be an excellent alternative.
How lenders determine HELOC interest rates
HELOC interest rates are different from primary mortgage rates. Second mortgage rates are based on an index rate plus a margin. That index is often the prime rate, which today is 7.50%. If a lender added 1% as a margin, the HELOC would have a rate of 8.50%.
Lenders have flexibility with pricing on a second mortgage product, such as a HELOC or home equity loan, so it pays to shop around. Your rate will depend on your credit score, the amount of debt you carry, and the amount of your credit line compared to the value of your home.
And average national HELOC rates can include "introductory" rates that may only last for six months or one year. After that, your interest rate will become adjustable, likely beginning at a substantially higher rate.
How a HELOC works
You don't have to give up your low-rate mortgage to access the equity in your home. Keep your primary mortgage and consider a second mortgage, such as a home equity line of credit.
The best HELOC lenders offer low fees, a fixed-rate option, and generous credit lines. A HELOC allows you to easily use your home equity in any way and in any amount you choose, up to your credit line limit. Pull some out; pay it back. Repeat.
Meanwhile, you're paying down your low-interest-rate primary mortgage like the wealth-building machine you are.
This embedded content is not available in your region.
Look for introductory rates, but be aware of a rate adjustment later
Today, LendingTree is offering a HELOC rate of 6.50% for a credit line of $150,000. That's likely an introductory rate that will convert to a variable rate later. When shopping lenders, be aware of both rates. And as always, compare fees, repayment terms, and the minimum draw amount. The draw is the amount of money a lender requires you to initially take from your equity.
The power of a HELOC is tapping only what you need and leaving some of your line of credit available for future needs. You don't pay interest on what you don't borrow.
HELOC rates today: FAQs
What is a good interest rate on a HELOC right now?
Rates vary so much from one lender to the next that it's hard to pin down a magic number. You may see rates from nearly 7% to as much as 18%. It really depends on your creditworthiness and how diligent a shopper you are.
Is it a good idea to get a HELOC right now?
For homeowners with low primary mortgage rates and a chunk of equity in their house, it's probably one of the best times to get a HELOC. You don't give up that great mortgage rate, and you can use the cash drawn from your equity for things like home improvements, repairs, and upgrades. Of course, you can use a HELOC for fun things too, like a vacation — if you have the discipline to pay it off promptly. A vacation is likely not worth taking on long-term debt.
What is the monthly payment on a $50,000 home equity line of credit?
If you take out the full $50,000 from a line of credit on a $400,000 home, your payment may be around $395 per month with a variable interest rate beginning at 8.75%. That's for a HELOC with a 10-year draw period and a 20-year repayment period. That sounds good, but remember, it winds up being a 30-year loan. HELOCs are best if you borrow and pay back the balance in a much shorter period of time.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
22 minutes ago
- Yahoo
Jensen Huang Says He's Created More Billionaires Than Any CEO: 'Don't Feel Sad For Anybody At My Layer'
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. As the Donald Trump administration unveiled its AI policy plan, Nvidia Corp. (NASDAQ:NVDA) CEO Jensen Huang joined top Silicon Valley figures to weigh in on the cutthroat battle for AI talent and compensation during a live podcast in Washington, D.C. What Happened: Earlier this week, appearing on the All-in podcast alongside venture capitalists Chamath Palihapitiya and Jason Calacanis, Huang pushed back on concerns about executive-level compensation amid billion-dollar offers for AI researchers. During the conversation, Palihapitiya raised the point that AI researchers were being offered unprecedented contracts—one reportedly as high as $1 billion over four years from Meta Platforms Inc. (NASDAQ:META). He asked why similar valuations weren't seen at the CEO level, despite their role in enabling breakthroughs. "First of all, I've created more billionaires on my management team than any CEO in the world. They're doing just fine," Huang said. "Don't feel sad for anybody at my layer." Trending: 7,000+ investors have joined Timeplast's mission to eliminate microplastics— Huang also underscored the efficiency of small, well-funded teams in AI. "The impact of 150 or so AI researchers can probably create, with enough funding, an OpenAI. There's something about the elegance of small teams," he said. Later, Calacanis added levity, teasing Huang about rumors of a secret stash of stock options. "Somebody told me you just drop RSUs on people if they do a great job," he joked. "That's nuts," Huang responded, adding, "I review everyone's comp myself ... and I 100% of the time increase opex because you take care of people and everything else takes care of itself." Why It's Important: The discussion came during the Trump administration's unveiling of its AI Action Plan, a strategic initiative backed by a new wave of Silicon Valley. The fierce competition for AI talent has driven record compensation and high-profile hires across companies like Meta, Microsoft Corp. (NASDAQ:MSFT), OpenAI and Alphabet Inc.'s (NASDAQ:GOOG) (NASDAQ:GOOGL) Google DeepMind—often eclipsing executive salaries and reshaping the power dynamics in the tech world. Earlier this week, Alphabet CEO Sundar Pichai also dismissed concerns over an AI talent exodus, stating the company remains strong in attracting and retaining top AI experts. Read Next: $100k+ in investable assets? Match with a fiduciary advisor for free to learn how you can maximize your retirement and save on taxes – no cost, no obligation. Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Here's how you can earn passive income with just $100. Photo courtesy: jamesonwu1972 On This article Jensen Huang Says He's Created More Billionaires Than Any CEO: 'Don't Feel Sad For Anybody At My Layer' originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
22 minutes ago
- Yahoo
CORRECTING and REPLACING Zip Marks Fifth Anniversary with New Offices in San Francisco and New York
Agentic Procurement Orchestration Leader Doubles Office Footprint Amid Explosive Growth, Surpasses Hundreds of Billions in Processed Requests SAN FRANCISCO, July 26, 2025--(BUSINESS WIRE)--Please replace the release dated July 24, 2025, with the following corrected version due to multiple revisions. The updated release reads: ZIP MARKS FIFTH ANNIVERSARY WITH NEW OFFICES IN SAN FRANCISCO AND NEW YORK Agentic Procurement Orchestration Leader Doubles Office Footprint Amid Explosive Growth, Surpasses Hundreds of Billions in Processed Requests Zip, the world's leading agentic procurement orchestration platform, today celebrated its fifth anniversary by unveiling expanded offices in San Francisco and New York to accommodate rapid workforce growth driven by unprecedented enterprise adoption. The company has grown from 250 to over 500 employees in the past year alone while securing Global 2000 customers across every major industry. Five years ago, Zip's founders chose to tackle procurement – hardly the most glamorous corner of technological innovation. While others chased trendy markets, Zip focused on the overlooked but critical process of how companies buy what they need. Few shared their vision. Then the world changed. Supply chain disruptions, inflation, and tariffs turned procurement from a back-office afterthought into a C-suite priority. What Zip had been quietly building suddenly became every CEO's top concern. That early vision, combined with five years of relentless innovation and AI leadership, explains why global giants from OpenAI to Discover are choosing Zip to transform their operations. "Over the past five years, we've built something remarkable – a product so sticky that we've maintained 100% retention across our strategic enterprise customers," said Rujul Zaparde, Co-founder and CEO of Zip. "The fact that Fortune 500 companies across financial services, telecommunications, healthcare, defense, and retail are choosing a five-year-old company over established vendors speaks to how fundamentally we've reimagined procurement. We've processed over hundreds of billions in total purchasing request volume since our founding five years ago and we've barely scratched the surface of the global opportunity." From Zero to $2.2 Billion: Five Years of Unprecedented Growth Zip's journey from startup to enterprise standard represents one of the fastest value creation stories in enterprise software history. In October 2024, the company secured $190 million in Series D funding at a $2.2 billion valuation, marking the largest investment in procurement technology in over two decades and validating Zip's position as the category leader. Since its founding in 2020, Zip has achieved milestones that typically take enterprise software companies decades: Customer Momentum: Trusted by hundreds of global enterprises including AMD, Anthropic, Canva, Coinbase, Discover, Lyft, Northwestern Mutual, OpenAI, Pinterest, Reddit, Sephora, and Snowflake Financial Impact: Generated $4.4 billion in customer savings, with companies averaging 3.6% reduction in total spend savings and 25% in productivity gains Product Innovation: Introduced intake to the world, pioneered orchestration, and launched the industry's first agentic AI suite with 50+ procurement agents. Platform has delivered 4.6 million AI insights and achieved unprecedented engagement for an enterprise software platform with 14 million customer comments Doubling Down on Talent and Geographic Expansion To support its trajectory, Zip is hiring aggressively across all markets while significantly expanding its physical footprint: San Francisco: New headquarters doubles office space to 75,000 square feet, housing 200+ employees from top universities like Stanford and MIT, and companies like Meta, Airbnb, and Scale. The expansion reaffirms Zip's commitment to San Francisco as its global headquarters, investing in the city's downtown revitalization New York: Expanding beyond co-working to establish a permanent Manhattan headquarters, positioning Zip closer to financial services and media giants Global Reach: 60+ employees across EMEA, with continued expansion in London The company has grown from approximately 250 employees to over 500 in the past year, hiring 100+ people per quarter, with spending heavily weighted toward R&D. Five Years of Relentless Innovation Zip's trajectory from introducing intake to pioneering agentic procurement orchestration showcases the company's ability to anticipate and shape market needs: 2020: Founded with a vision to fix broken procurement processes; introduced intake and procurement orchestration to the world, transforming how companies start the procurement process 2021: Revolutionized workflows by launching dynamic approvals and integrating with 25+ enterprise systems including ERPs, CLMs, and GRC platforms 2022: Expanded beyond intake to full Procure-to-Pay capabilities, enabling end-to-end procurement orchestration 2023: Became the first procurement platform to embed generative AI, delivering millions of AI-powered insights to customers 2024: Launched the Integration Platform enabling rapid enterprise deployments; established the Zip AI Lab following landmark Series D funding 2025: Introduced Agentic Procurement Orchestration; unveiled suite of 50+ specialized AI agents that autonomously handle complex procurement tasks from tariff analysis to contract reviews "Five years ago, we introduced intake to the world. We scaled orchestration. Now, we're shaping the agentic future with 50+ AI agents that are redefining what procurement is capable of," added Lu Cheng, Zip Co-founder and CTO. "The most exciting part? We're just getting started." This fall, Zip will host Zip Forward 2025 at San Francisco's Yerba Buena Center for the Arts, where 750+ procurement and finance leaders will gather under the theme 'Agents of Change.' To request an invitation, please visit About Zip Zip is the world's leading agentic procurement orchestration platform, empowering businesses to accelerate the procurement process, mitigate risk, and drive growth by offering a single front door to unify the teams, tasks, and tools involved in working with suppliers. With Zip, businesses can maximize employee adoption of purchasing policies and increase spend visibility and control. As the leading solution for optimizing business spend, Zip's AI-powered platform is trusted by hundreds of leading enterprises worldwide, including AMD, Anthropic, Coinbase, Discover, Dollar Tree, Instacart, Invesco, Lyft, Northwestern Mutual, Prudential, Reddit, Sephora, and Snowflake to maximize the ROI of every dollar. To learn more, visit View source version on Contacts chrysta@ Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
22 minutes ago
- Yahoo
Trump's EPA Reportedly Wants to Remove Limits on Tailpipe Emissions
"Hearst Magazines and Yahoo may earn commission or revenue on some items through these links." A new draft plan is reportedly going to unwind the EPA's ruling that greenhouse gases are a public health issue. If passed, the federal agency's ability to enforce restrictions on automakers could be limited in the future. The plan would overturn official EPA policy that has been in place since 2009. A newly drafted plan from the Environmental Protection Agency (EPA), said to be days away from going public, aims to strip the agency's ability to limit greenhouse gases. According to reporting from the New York Times, the draft proposal rescinds a 2009 declaration that carbon dioxide and methane emissions are hazardous to public health. If verified and passed, such a proposal presents further headwinds to EV adoption and also removes limits on tailpipe emissions. The ruling would also affect industrial pollution, but as far as the automotive industry is concerned, it would remove carbon emission limitations as a target for automakers. With fines for CAFE (Corporate Average Fuel Economy) violations largely eliminated and federal rebates for EV purchases gone, this new change could continue to change the course of domestic car manufacturing. Long-term, such a change would limit the EPA's authority to enforce rules aimed at limiting climate change. The proposed draft is said not to argue with the science regarding greenhouse gas emissions, but rather it states that the EPA has legally overstepped its authority. It seeks to limit the EPA's ability to legislate except in specific circumstances. There are several steps to be taken before such a change occurs, not least of which are various legal hurdles. If enacted, the new plan would almost certainly face challenges from various sources. It also has to weather some form of public review. It took two years for the EPA to officially label greenhouse gases as a public health issue after a 2007 Supreme Court ruling that they were pollutants under the Clean Air Act. Unwinding this finding may take a similarly long timeline. If you are in the automaking business, however, it's fairly straightforward to see which way the winds are blowing. For the near future, investing in combustion-powered transportation is likely to be the safe bet. You Might Also Like Car and Driver's 10 Best Cars through the Decades How to Buy or Lease a New Car Lightning Lap Legends: Chevrolet Camaro vs. Ford Mustang!