Home Equity Line of Credit (HELOC)
Use your home’s equity to finance your next big project. Whether it’s to pay for a home renovation or remodel, pay consolidated medical bills or help pay for your child’s education, a no annual fee HELOC from WaFd Bank is often more affordable than using credit cards or other loans. You’ll also receive a discount on your interest rate when you make automatic payments from your WaFd checking account. We’ll pay closing costs for our existing WaFd home loan clients on lines of credit up to $250,000. HELOCs are available for primary, second home & investment properties, including jumbo HELOCs up to $700,000. Apply online, where you can securely upload your documents and receive status updates in our secure portal. Get started with a versatile HELOC today.
Use a HELOC for Home Improvements
Some Benefits to a Home Equity Line of Credit
Home Equity Loan Calculator
- NO ANNUAL FEE
- Discount of 0.250% off your interest rate for automatic monthly payment from your WaFd Checking Account
- Interest rates as low as 3.125%. Interest rate and APR (Annual Percentage Rate) are variable based on the Wall Street Journal Prime Rate plus a margin subject to credit approval of your credit history, loan to value, occupancy and EZ Pay requirements.
- Monthly interest only payments do not include property taxes and insurance.
- HELOC’s available for owner occupied homes, 2nd homes & investment properties.
- Home Equity Loan Calculator payments display monthly interest only payments assuming the outstanding balance displayed in the Equity Credit Line
- HELOC’s feature a 25 year term as follows:
- 10 year draw period to borrow on your line of credit whenever you need it
- Any outstanding loan balance after 10 year draw period will be amortized (principal and interest payments) over 15 years
- Consult your tax advisor.
- The rate will never exceed 17.99 % APR.
- Property Insurance is required.
- NO ANNUAL FEE
- Discount of 0.250% off your interest rate for automatic monthly payment from your WaFd Green or Stellar Checking Account
- Interest rates as low as 3.125%. Interest rate and APR (Annual Percentage Rate) are variable based on the Wall Street Journal Prime Rate plus a margin subject to credit approval of your credit history, loan to value, occupancy and EZ Pay requirements.
- Monthly interest only payments do not include property taxes and insurance.
- Consult your tax advisor.
- The rate will never exceed 17.99 % APR.
- HELOC’s available for owner occupied homes, 2nd homes & investment properties.
- Home Equity Loan Calculator payments display monthly interest only payments assuming the outstanding balance displayed in the Equity Credit Line
- HELOC’s feature a 25 year term as follows:
- 10 year draw period to borrow on your line of credit whenever you need it
- Any outstanding loan balance after 10 year draw period will be amortized (principal and interest payments) over 15 years
- Property Insurance is required.
Your neighborhood loan officer can help you get started
WaFd Bank Home Lending Articles
Frequently Asked Questions
A HELOC* can cover
- Remodels and repairs
- Educational costs
- Energy-efficient appliances
- A more fuel-efficient car
- Medical bills
- Unexpected expenses
*Not available in Texas.
A HELOC is a loan that is underwritten using your current home’s value. For example, if you’ve owned your home for 10 or so years, then you likely have a significant amount of equity, or money, invested in it.
A HELOC essentially serves as a sort-of second mortgage, so the bank would give you a maximum loan amount for you to use based on the equity that you have in your home.
HELOCs have a “draw period,” typically ranging from 5 to 10 years, during which time borrowers can access the funds. During the draw period, the borrower is only required to pay interest on those funds that they actually drew out and used. After the draw period closes, borrowers are required to pay off the HELOC, or refinance it to another loan, during the repayment period. Repayment periods typically range from 10-20 years.
HELOCs are beneficial because you’re only paying interest on the funds you actually use, so if you’re not sure how much money you’ll need, then a HELOC can be a good option. As with any loan, you’ll want to talk to a financial expert and be confident you can pay off the HELOC before establishing one.
Remember, ultimately the goal of homeownership is to own your house free and clear, so if you’re unsure as to whether you can handle additional payments after the draw period, then you may want to explore other avenues of funding, or look at adjusting your existing budget.
Want more help? Come See Us
If you've done all your research but aren't sure a home equity line of credit makes sense, just stop by. We’re nearby, and we’ll sit down with you and answer any questions you may have.
Arizona, Idaho, Nevada, New Mexico, Oregon, Utah, and Washington
* To qualify for the maximum $600 discount, before closing documents are prepared you must (1) have or open the WaFd checking account, (2) register for EZ-Pay from the new checking account, and (3) sign up for direct deposit of at least one form of a monthly recurring source of income.