Westerra Credit Union offers a variety of home equity loan options to meet your unique needs.
You can borrow up to 80% of your home's value, with loan amounts ranging from $10,000 to $500,000.
Westerra Credit Union's home equity loans have a fixed interest rate, which can help you budget and plan your payments.
The repayment term can be up to 15 years, giving you flexibility to choose a payment schedule that works for you.
Choosing a Home Equity Loan
You can choose between a HELOC with a 10-year interest-only line of credit or a 5-year line of credit with a 2% of balance payment.
Having a plan and budget in place will help you decide if a fixed rate second mortgage loan or a HELOC is best for you.
A fixed rate second mortgage loan offers terms up to 15 years, giving you more time to repay the loan.
To secure your loan, have a plan and budget in place so you know what you will need and when.
APR for a HELOC can be as low as 7.99% based on creditworthiness, and the rate will not exceed 18% APR.
The minimum monthly payment for a HELOC is $50, and there are no closing costs on owner-occupied properties for loan amounts of $150,000 or less.
Intriguing read: Are Heloc Rates Fixed or Variable
Preparation and Planning
Before getting a HELOC or a fixed rate second mortgage, it's essential to secure your loan prior to starting your project. This will give you a clear understanding of what you need and when.
Having a plan and budget in place will also help you decide if a fixed rate second mortgage loan or a HELOC is best for you.
The APR for a HELOC will adjust on the first day of the month following a rate change and shall be the Prime Rate as published in the “Money Rates” section of the Wall Street Journal plus a margin based on your creditworthiness and combined loan to value at the time of application.
Variable rate may change after account opening, but the rate will not exceed 18% APR. The floor rate is 4.49% APR.
As of 1/2/2025, APR for a HELOC as low as 7.99% based on creditworthiness.
You'll need to have property insurance and security interest in property required to secure your loan.
There are no closing costs on owner-occupied properties for loan amounts of $150,000 or less, but other loan closing costs may range from $175 - $275.
A fresh viewpoint: How Do I Know If I Have a Heloc Loan
Frequently Asked Questions
Is a credit union a good place to get a HELOC?
Large federal credit unions, especially those affiliated with government agencies, are generally good options for HELOCs, but individual experiences may vary
What credit score do you need for a HELOC?
To qualify for a HELOC, you'll typically need a minimum credit score of 620, although the best rates often go to borrowers with scores of 780 or higher.
What is the disadvantage of HELOC?
A HELOC's variable interest rate can increase your debt, and if you default, you risk losing your home as collateral.
Is it hard to get a HELOC now?
Getting a HELOC is relatively straightforward if you've made timely mortgage payments and have sufficient home equity. However, approval requirements may vary, so it's worth exploring further to determine your eligibility.
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