HELOC rates in Delaware have increased from 4.4% in early 2021 to 8.8% by November 2024. If this upward trend persists, homeowners might encounter higher borrowing costs. Consider securing a rate now to avoid future increases.
HELOC
Best HELOC Rates in Delaware
Updated: November 19, 2024
Advertising & Editorial Disclosure
Key Takeaways
Higher loan-to-value (LTV) ratios lead to higher rates. The average APR for a HELOC in Delaware with an 80% LTV is 8.4%, compared with 8.4% for a 90% LTV.
HELOC rates vary by city in Delaware. Felton has an average APR of 8.0%, whereas Claymont's is 11.0%.
Different lenders offer varying rates for the same loan types. Sun East Federal Credit Union's average APR is 7.0%, whereas PNC Bank's is 10.9%.
Current HELOC Rates in Delaware
Loading...
HELOC Rates in Delaware by LTV Ratio
HELOC rates in Delaware depend on your loan-to-value ratio and line limit. A lower LTV ratio is less risky for lenders, as you have more home equity. For example, an 80% LTV means you've borrowed less against your home's value compared to a 90% LTV, reducing the risk of default on your HELOC.
The following table lets you filter between different loan amounts, providing a clearer view of what you may qualify for:
Data filtered by:Results filtered by:
Line Limit:
Line Limit:$100,000
HELOC Rates in Delaware by City
HELOC rates in Delaware vary by city due to local housing markets and lender competition. For instance, a city with a robust real estate market might offer lower rates, reducing lender risk.
Use the table below to filter by your city and see average APRs for $50K and $100K HELOCs.
Data filtered by:Results filtered by:
City:
City:Wilmington
| $100,000 | 8.6% |
| $50,000 | 9.0% |
HELOC Rates in Delaware by Lender
HELOC interest rates in Delaware vary based on lenders' pricing strategies and risk assessments.
The table below highlights the five lenders in Delaware offering the lowest average APRs, helping you compare competitive rates.
| Sun East Federal Credit Union | 7.0% |
| Dover Federal Credit Union | 7.5% |
| Community Powered Federal Credit Union | 7.8% |
| Community Bank Delaware | 8.0% |
| Citizens Bank | 8.0% |
HELOC rates today can vary between lenders in the same city. Use the table below to filter by city and compare average APRs, helping you find the best rate in your area.
Data filtered by:Results filtered by:
City:
City:Wilmington
| Sun East Federal Credit Union | Credit Union | 7.0% |
| Community Powered Federal Credit Union | Credit Union | 7.8% |
| First Citizens Community Bank | Commercial Bank | 8.0% |
| Citizens Bank | Commercial Bank | 8.0% |
| DEXSTA Federal Credit Union | Credit Union | 8.5% |
| Louviers Federal Credit Union | Credit Union | 8.5% |
| Fulton Bank | Commercial Bank | 8.5% |
| TD Bank | Commercial Bank | 9.1% |
| Manufacturers and Traders Trust Company | Commercial Bank | 10.1% |
| Bank of America | Commercial Bank | 10.2% |
| PNC Bank | Commercial Bank | 11.4% |
COMPARING HELOC RATES IN DELAWARE: BANKS VS. CREDIT UNIONS
HELOC rates in Delaware vary between banks and credit unions, with banks typically offering higher rates. For example, commercial banks in Delaware have an average APR of 9.1%, compared to 7.9% offered by credit unions, which are not-for-profit institutions known for lower rates.
Consider more than just rates when choosing between banks and credit unions. Banks may provide more convenience and a wider range of services, while credit unions often offer better customer service and lower fees. Before deciding, check membership requirements for credit unions and any hidden fees or rate adjustment clauses with both lenders.
Ask the experts:
What are the common fees or costs associated with HELOCs that borrowers should be aware of, and how do these affect the overall cost of borrowing?
Credit & Mortgage Expert
Most banks and credit unions charge little to no fees when getting a HELOC. Typically, you will pay the cost of the appraisal — anywhere from $150 to $450 depending on the type of appraisal done. But closing costs are usually covered by the bank or credit union. This is why it’s best to shop around with at least three different lenders when applying for a HELOC to compare not only the rates but also any costs involved. Getting a rate that is 0.25% lower but having to pay a couple thousand dollars in costs may not make financial sense.
HELOC Payment Calculator
HELOCs have become a popular tool for homeowners across the U.S. looking to tap into their home's equity.
Use our Delaware HELOC payment calculator to estimate your monthly payments based on amount draws, APR, and loan terms.
It also offers an amortization schedule, detailing principal and interest division over time. Understanding these can help you manage your HELOC and plan your finances more effectively.
Delaware HELOC Payoff Calculator
This HELOC payment calculator assumes that you take out one lump sum at the start of your interest-only period. Your actual payoff schedule will vary depending on your interest rate and market conditions.
Credit Line Information
Draw Period Payment
$0
Repayment Period Payment
$0
- Graph view
- Table view
- Amortization
Credit Payoff Schedule for Home Equity Line
YEAR
Ending balance
Principal paid
Interest paid
How to Get the Best HELOC Rates in Delaware
Finding the best HELOC rates in Delaware can save you thousands over the loan's duration. For instance, a 1% difference in rates on a $50,000 HELOC could mean saving $500 annually. To secure competitive rates, consider these five strategies:
Maintain a strong credit score
The average credit score in Delaware is 715. While good, aiming for 720+ can secure better rates.
Compare offers from multiple lenders
Shopping around can help you find competitive rates and leverage offers for better terms.
Reduce your debt-to-income (DTI) ratio
Lower debt-to-income (DTI) ratios show stability. Pay off credit card debt to improve your ratio.
Increase your home equity
More equity reduces lender risk. Consider paying down your mortgage or home improvements.
Review closing costs and rate caps
Closing costs affect expenses. Compare rate caps to manage costs as rates change.
HELOC Loan Rates vs. Home Equity Loan Rates in Delaware
HELOC interest rates in Delaware average 8.5%, while home equity loan rates are slightly lower at 7.8%. This difference arises from HELOCs having variable rates, which can increase over time, especially in rising interest rate environments.
- HELOCs are flexible, revolving credit lines with variable rates that adjust with market conditions. In rising interest rate environments, HELOCs may become more expensive, affecting long-term finances.
- Home equity loans offer a lump sum with a fixed rate, providing stability over the loan term. They're ideal for those needing predictable payments or consolidating debt.
When deciding between these options, consider your financial goals, risk tolerance, and whether you prefer the flexibility of a HELOC or the predictability of a home equity loan. Assessing your home's equity can also guide your choice.
CONSIDERING A HELOC ALTERNATIVE? TRY A CASH-OUT REFINANCE
Cash-out refinance is a HELOC alternative that replaces your existing primary mortgage with a larger loan, providing cash access. Unlike HELOCs or home equity loans, it creates a new primary mortgage.
For example, with a Federal Housing Administration (FHA) mortgage, if your home is valued at $300K and your mortgage balance is $150K, an FHA cash-out refinance for $200K can give you $50K in cash.
FAQ: Best HELOC Rates in Delaware
What are the current HELOC rates in Delaware and how do they compare to national rates?
Delaware's HELOC rates average 8.5%, slightly higher than the national average of 8.4%.
What fees are commonly associated with HELOCs in Delaware?
Common fees include application fees, appraisal fees, annual fees, and early closure fees, but specifics vary by lender.
How do HELOC rates in Delaware compare to home equity loan rates?
Delaware's HELOC rates average 8.5%, while home equity loan rates are lower at 7.8%, which can be beneficial for those with bad credit.
How do HELOC Rates in Delaware vary between banks and credit unions?
Banks in Delaware offer HELOC rates averaging 9.1%, while credit unions offer lower rates at 7.9%.
What's the best HELOC rate in Wilmington? How does it compare to the current HELOC rate in Delaware?
Wilmington's rates are higher, averaging 8.8%, compared to the state average of 8.5%.
MoneyGeek examined 20 different banks and credit unions in Delaware using S&P Global's SNL Depository Rates dataset to stay current on the latest home equity line of credit rates.
This data is accurate as of November 15, 2024.
20Lenders Analyzed
About Zachary Romeo, CBCA
Zachary Romeo is a certified Commercial Banking and Credit Analyst (CBCA), and the Head of Loans and Banking at MoneyGeek. Previously, he led production teams for some of the largest online informational resources in higher education, with over 13 years of experience in editorial production.
Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt and helping others do the same through people-first content.