How much can I borrow with a HELOC?

Usually up to 85% combined loan-to-value, including your existing first mortgage. On a $400,000 home with a $250,000 first mortgage, that's up to $90,000 in HELOC availability ($340,000 total at 85% LTV minus the first).

Is the rate fixed or variable?

HELOCs are typically variable, tied to the Prime Rate. Some programs offer a fixed-rate conversion option on drawn balances. We'll walk you through both.

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

A HELOC is revolving (draw/repay/redraw) with a variable rate. A home equity loan is a one-time lump sum with a fixed rate and amortizing payment. Pick based on whether your cash need is one-time or ongoing.

Can I use it for anything?

Yes. Renovations, debt consolidation, tuition, medical, business capital, or emergency fund. Tax deductibility depends on use, only home-improvement spending qualifies for the mortgage interest deduction.

What happens after the draw period ends?

The HELOC converts to a repayment period (typically 20 years) where you amortize the outstanding balance with principal + interest. We'll review options before you hit that transition, refinance, payoff, or convert to fixed.

Does pulling a HELOC hurt my credit?

Opening the line involves a hard pull (a few points temporarily). Ongoing, a HELOC reports like revolving credit, keep utilization below 30% of the limit to avoid score pressure.

HELOC Loan

Home Equity Line of Credit

Tap your home's equity on demand. Draw what you need, pay interest only on what you use.

Sitting on equity but don't want the cost of a full refinance? A HELOC gives you access without losing your first-mortgage rate.

Talk through your options Full loan application

Start with a conversation. The full application opens in ARIVE and is the place for financial details and documents.

About Home Equity Line of Credit

A HELOC is a revolving credit line secured by your home's equity. Unlike a fixed-rate second mortgage, you can draw funds as needed during the draw period (typically 10 years), pay them back, and redraw. Interest is only charged on the outstanding balance, which makes it ideal for ongoing renovations, tuition, debt consolidation, or general liquidity. Your first mortgage stays untouched, so you don't lose a great rate to tap equity.

Key benefits

Interest-only during the draw period

Most HELOCs run a 10-year draw period with interest-only minimum payments. You only pay interest on what you've actually borrowed.

Keep your first-mortgage rate

A HELOC sits in second position. There's no need to refinance your existing mortgage, so a 3% or 4% first-lien rate stays intact.

Revolving access

Draw, repay, redraw throughout the draw period. Great for staged renovation projects where costs trickle in over months.

Potentially tax-deductible interest

When HELOC funds are used to buy, build, or substantially improve the home securing the loan, interest may be deductible. Talk to your CPA for your specific situation.

The process

Discuss your plans and the credit review needed for your application
Submit income documents and existing mortgage statement
Home value verification (appraisal, AVM, or desktop review)
Underwriting and closing after the lender's conditions are met

Questions we get a lot

HELOC FAQ

Usually up to 85% combined loan-to-value, including your existing first mortgage. On a $400,000 home with a $250,000 first mortgage, that's up to $90,000 in HELOC availability ($340,000 total at 85% LTV minus the first).

Check the program details

Requirements vary by borrower, property, and lender. These official sources explain the program rules and annual limits.

Other loan programs

Not sure which one fits?

We'll help you compare. Here's what else is on our rate sheet.

Serving

Fort Thomas, KY Florence, KY Bellevue, KY Covington, KY Newport, KY Alexandria, KY Highland Heights, KY Cold Spring, KY Northern Kentucky Cincinnati, OH Dayton, KY

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