Want to use your home’s equity for home improvements, debt consolidation, college education, and more? With a home equity loan at PSECU, you can. You'll enjoy competitive rates, no application fees, an easy application process, and potential tax benefits.*
Find out more about our flexible options to get cash out of your home.
Home Equity Lines of Credit or Real Estate Equity Loan: Which Is Right for You?
We offer two ways to borrow from the equity in your home: Home Equity Lines of Credit (HELOC) and Real Estate Equity Loans. Equity is the difference between your home’s value and what you owe on any existing mortgage loan.
What Is a Real Estate Equity Loan?
Real Estate Equity Loans are also called home equity loans. They have a fixed interest rate and fixed monthly payment. You receive the money you are borrowing in a lump sum payment upfront.
A Real Estate Equity Loan offers:
A fixed amount of funds in one lump sum
- Fixed, unchanging rates
- Predictable monthly payments
- Five- and 10-year repayment terms
What Is a HELOC?
With a Home Equity Line of Credit (HELOC), you can draw money from the line of credit as needed during the draw period. You can make multiple withdrawals during this time, up to your maximum credit line.
The draw period lasts five years. The repayment period gives you up to 20 years from the date of the last advance to repay the balance.
Unlike a home equity loan, HELOCs have adjustable interest rates. Your payment is based on the outstanding balance each month.
A HELOC might be right if you:
Intend to borrow only the money that you need
- Need flexible access to funds
- Want to repay only what you borrow
- Are looking for a variable rate
* Please consult a qualified tax advisor to determine if interest may be tax deductible.