How much will a $60,000 home equity loan cost monthly if opened this September?
Summary
Homeowners who borrow money using a home equity loan in September will face fixed interest rates around 8.14%, making monthly payments between $578 and $732 for a $60,000 loan depending on the repayment period. Locking in a home equity loan now may protect borrowers from possible rate increases following a Federal Reserve rate hike planned for mid-September.Key Facts
- Home equity loans currently have fixed interest rates around 8.14%.
- A $60,000 home equity loan taken this September would cost about $732 per month over 10 years.
- The same loan over 15 years would cost about $578 per month.
- Rates in January were slightly lower, around 8.10%, resulting in slightly lower monthly payments.
- Rates one year ago were higher, about 8.34%, making monthly payments more expensive.
- Fixed-rate loans protect borrowers from future interest rate increases.
- Borrowing with home equity uses the home as collateral, so borrowers should be sure they can repay.
- Online marketplaces can help compare home equity loan rates from different lenders quickly.
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