Becca Stanek for SoFi

The different types of home equity loans

How does a home equity loan work? First, it’s important to understand that the term home equity loan is simply a catchall for the different ways the equity in your home can be used to access cash. The most common types of home equity loans are fixed-rate home equity loans, home equity lines of credit (HELOCs), and cash-out refinancing. The best type of home equity loan option for you will depend on your specific needs, so it’s helpful to know the characteristics of each to do an informed home equity loan comparison. SoFi breaks it all down.

Key Points

Home equity loans allow homeowners to borrow against the equity in their homes.

There are three main types of home equity loan options: traditional home equity loans, home

See Full Page