$50,000 home equity loan vs. $50,000 HELOC: Here's which costs less per month now

MoneyWatch: Managing Your Money $50,000 home equity loan vs. $50,000 HELOC: Here's which costs less per month now We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. .chip { background-image: url('/fly/bundles/cbsnewscore/images/chip-bgd/chip-bgd-moneywatch.jpg'); } By Matt Richardson Matt Richardson Sr. Managing Editor, Managing Your Money Matt Richardson is the senior managing editor for the Managing Your Money section for CBSNews.com. He writes and edits content about personal finance ranging from savings to investing to insurance. Read Full Bio Matt Richardson April 22, 2026 / 2:52 PM EDT / CBS News Add CBS News on Google The average homeowner is sitting on a record amount of equity from which to borrow from right now. Vstock The home equity borrowing space has been an especially interesting one in recent months. Even as interest rates on other borrowing products stagnated or, in the case of mortgages, ticked up, rates on home equity loans and home equity lines of credit (HELOCs) have remained affordable and even declined in many weeks. The average HELOC interest rate, for example, is down by more than two full percentage points compared to where it stood around 18 months ago. And thanks to the product's variable rate that will change each month based on market conditions, borrowing with a HELOC could theoretically become even more affordable over time. Home equity loans, meanwhile, come with low, fixed interest rates that could be advantageous for homeowners worried about the long-term interest rate projections.With home equity levels in the country hitting a record high last year, however, and with trillions of dollars considered borrowable right now, withdrawing $50,000 worth of home equity should be relatively easy for current homeowners. Before submitting an application, however, borrowers should know which of these two options is likely to cost less per month now. Below,...