Home Equity Line of Credit (HELOC)
Turn the equity you've built into cash.
Borrow what you need, on your timeline, without impacting your current mortgage rate.1
Finance Your Future With a HELOC
Unlock Your Cash
Turn the home equity you have built into a revolving credit line between $50,000 to $350,000.
Borrow as You Go
Get 75% of your approved limit at closing with the flexibility to take out more money during the draw period.
Online Process
Quickly get pre-approved2 and complete your application using our seamless online process.
What is a HELOC?
It is a revolving line of credit, and like a credit card, you may borrow cash as needed up to your approved limit during the draw period.
Withdraw funds as you go to spend on anything, big or small:
- Consolidate high-interest debt
- Invest in home renovations
- Fund medical expenses
- Cover education costs
Which Option is Right for Me?
Learn how you can make the most of the equity you have been building.
Loan Comparison
|
Home Equity Line of Credit |
Home Equity Loan |
Cash-Out Refinance | |
| How will I get my cash? | Receive 75% of your line at closing with flexibility to repay and withdraw funds during the draw period, up to your full line amount | Lump sum received at closing | Lump sum received at closing |
| Interest rate & monthly payment | Variable, flexible, pay only interest for the first 3 years | Fixed principal and interest | Fixed principal and interest |
| Get cash in as little as 3 weeks5 | Yes | Yes | Yes |
The Newrez Loan Process
Crunch the Numbers
Enter your income and other monthly expenses to create a personalized budget.
Submit an Application
Review your finances, gather required documents, and complete your online application.
Access Your Credit
Upon loan closing, start taking out funds up to the approved credit limit and spend them your way.
Frequently Asked Questions
A HELOC, or home equity line of credit, is an open-ended line of credit that is secured by your home. Draw 75% of your approved full credit limit at of closing, with the flexibility to make additional draws within the draw period. For an overview on HELOCs and how they work, read this article.
A HELOC has two phases, the draw period and the repayment period. During the draw period, borrow money from the account up to your approved limit. At this time, only pay back what you owe. Once the repayment period begins, you are no longer able to withdraw funds and must pay off what is borrowed. During the repayment period, you will make both principal and interest payments. For more information on the payment structure, read this article.
A HELOC is a revolving line of credit that allows you to withdraw funds as needed up to your approved limit. A home equity loan is similar to a traditional loan in that borrowers receive loan funds as a one-time pay out. For a in-depth comparison, check out this article.
Both are revolving lines of credit, however, a credit card is unsecured and a HELOC is secured by your home. For a side-by-side look, read this article.
Yes, Newrez HELOCs can be refinanced. To qualify, you will need to meet lender requirements.
Disclosures
1 Our Home Equity Line of Credit is available for owner-occupied homes. At closing, we’ll draw 75% of your approved credit limit, minus any origination fees. Additional draws can be requested 90 days after closing during the first three years, up to your available limit. Rates will vary based on factors like your credit score and your total loan-to-value ratio. Loan amounts range from $50,000 to $350,000. To determine your home’s value, we may use independent data sources or automated valuation models, and in some cases, an appraisal may be required. This product is only available for eligible borrowers, certain property types, and in select states. Pre-approval is based on the information you provide and is subject to verification and full underwriting review. Not all applicants will qualify.
2 A pre-approval represents that the borrower is eligible for up to a specified amount based on our review of documents including credit, income, and assets. The property, appraisal, and any remaining conditions still need to be verified.
3 The Newrez Home Equity Loan program allows you to keep your current mortgage rate unchanged while taking out a second mortgage at current market rates. The minimum credit score for this program is 660, and it is only available on properties with one existing mortgage lien. Loan amounts must meet program minimums and maximums, and loans are subject to maximum loan-to-value limits as well as other underwriting rules. Geographic restrictions apply.
4 By refinancing an existing loan, the total finance charges may be higher over the life of the loan.
5 Processing and closing times vary depending on the nature and complexity of the transaction.