Unlock Your Home's Potential

Access the equity you've built in your home with flexible financing options. Use it for renovations, debt consolidation, education, or any major expense.

Choose the Right Home Equity Solution

Home equity products offer borrowers significantly lower interest rates than credit cards and provide a way to tap into home equity without affecting a low-rate first mortgage. We offer two powerful ways to access your home's equity.

Home Equity Line of Credit

HELOC

A flexible credit line that works like a credit card, secured by your home. You can draw money as needed and pay it down at different times.

  • Adjustable or fixed-rate (FIXLINE) options
  • Interest-Only payment option available (on adjustable HELOC)
  • Pay interest only on the amount you use
  • Revolving credit: reuse funds as you repay
  • 3-year draw period
  • Great for periodic access to cash and flexibility

Home Equity Loan

HELOAN

A lump-sum loan with a fixed rate and predictable monthly payments, fully funded at closing.

  • Receive the full loan amount upfront
  • Fixed interest rate for the life of the loan
  • Stable, fully amortized monthly payments
  • Terms from 10 to 30 years
  • Ideal for large, one-time expenses
  • Great for those on fixed incomes or concerned about rate changes

*Consult your tax advisor about interest deductibility.

Popular Ways to Use Your Home Equity

Your home equity can be a powerful financial tool for achieving your goals.

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Home Improvements

Renovate your kitchen, add a bathroom, or update your living spaces. Home improvements can increase your property value while enhancing your quality of life.

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Debt Consolidation

Pay off high-interest credit cards and personal loans with a lower-rate home equity loan. Simplify your finances with one monthly payment.

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Education Expenses

Fund college tuition, private school, or professional development. Invest in education without the restrictions of student loans.

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Emergency Fund

A HELOC can serve as a financial safety net, providing peace of mind knowing funds are available when unexpected expenses arise.

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Investment Opportunities

Use your equity as a down payment on an investment property or to fund a business venture. Leverage your home to build wealth.

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Major Purchases

Finance a wedding, dream vacation, new vehicle, or other significant life events at potentially lower rates than other financing options.

How Much Equity Do You Have?

Here's a simple way to estimate your available home equity:

Current Home Value: $400,000
Mortgage Balance: -$250,000
Total Equity: $150,000
Available to Borrow (80% LTV): $70,000

Most lenders allow you to borrow up to 80-90% of your home's value minus what you owe.

Benefits of Using Home Equity

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Lower Interest Rates

Home equity loans typically offer much lower rates than credit cards or personal loans because they're secured by your home.

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Higher Loan Amounts

Access larger sums of money than typical personal loans, based on the equity you've built in your home.

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Flexible Terms

Choose from various repayment terms to find a monthly payment that fits your budget.

Texas Home Equity Guidelines

Important Information for Texas Homeowners

Texas has specific laws governing home equity loans and lines of credit to protect homeowners:

  • You can borrow up to 80% of your home's value (minus existing liens).
  • Only one home equity loan at a time is allowed.
  • A 3% fee cap on closing costs applies.
  • There is a 12-day cooling-off period after application.
  • No prepayment penalties are allowed.
  • Minimum draw of $4,000 for HELOCs.
  • Minimum loan amount is $60,000 for both HELOCs and HELOANs.

Our Texas-licensed specialists understand these requirements and will ensure your loan complies with all state regulations.

Frequently Asked Questions

What's the difference between a HELOC and a home equity loan?

A Home Equity Loan (HELOAN) provides a one-time lump sum of cash with a fixed interest rate and stable, fully-amortized payments. It's best for large, immediate cash needs. A Home Equity Line of Credit (HELOC) works like a credit card secured by your home, allowing you to draw funds as needed during a 3-year draw period. It offers flexibility with either an adjustable rate (with an interest-only payment option) or a fixed rate.

How much can I borrow with a home equity loan or HELOC?

In Texas, you can typically borrow up to 80% of your home's combined loan-to-value (CLTV). For example, if your home is worth $400,000 and you owe $250,000, your maximum combined liens could be $320,000 ($400,000 x 80%), leaving you with up to $70,000 in available equity to borrow. Higher CLTVs up to 90% may be available depending on credit score.

Which option is right for me?

Consider a HELOC if: You want better cash flow with an interest-only option, need periodic access to cash, or want payment reductions corresponding to large balance payments.

Consider a HELOAN if: You are concerned about fluctuating rates, need stable payments for a fixed income, or have an immediate need for a lump sum of cash.

What are the loan terms?

HELOANs are available in 10, 15, 20, and 30-year fully amortizing terms. ELOCs (FIXLINE) in Texas are available in 15, 20, and 30-year fully amortized terms.

Can I use home equity for debt consolidation?

Yes! Debt consolidation is one of the most popular and smartest uses for home equity loans. By paying off high-interest debt with a lower-rate home equity loan, you can save significant money on interest and simplify your monthly budget with a single payment.

What happens if I sell my home?

When you sell your home, you are required to pay off all liens against the property, which includes your primary mortgage and any home equity loans or outstanding HELOC balances. This is typically handled at closing using the proceeds from the sale.

Ready to Access Your Home's Equity?

Discover how much you could borrow and which option is best for your goals.