Home Equity Loan Rates in Delaware

The equity in your home that you can access and borrow is known as tappable equity. A home equity loan (HEL) can help you maximize your home equity, whether you're looking to fund home improvement projects or consolidate debt.

Delaware's home equity loan rates are 7.7% APR for a 10-year term, similar to the national average, and 8.1% APR for a 15-year term, slightly higher than the national average of 7.9%. We've compiled detailed insights on current home equity loan rates in Delaware, including city-specific rates, top lenders and tips on securing the best rates for using your home's equity.

The current average APR for a 15-year home equity loan in Delaware is 8.1%, but various factors can influence what lenders offer. For instance, having a higher credit score can lead to a lower APR, while a larger loan amount might result in a higher rate. It's also important to consider repayment terms. Check the table below to compare the current home equity loan rates in Delaware across different loan terms.

Interest rates for home equity loans change daily. Keeping track of these changes can save you money by reducing the interest paid over the life of the loan. Additionally, if you have high-interest debts, a home equity loan at a lower rate can help consolidate those debts and lower your overall interest payments.

For example, a 15-year home equity loan with an 8.1% APR results in a monthly payment of $481 and a total interest of $36,529. In comparison, a 10-year loan with a 7.7% APR has a monthly payment of $599 and a total interest of $21,849.

The rate you qualify for depends on your loan-to-value ratio, which measures how much you owe on your mortgage compared to your home's appraised value. To calculate your LTV ratio, divide your current mortgage balance by your home's appraised value and multiply by 100. For instance, if your home is valued at $300,000 and you owe $240,000, your LTV ratio is 80%.

A higher LTV ratio presents a greater risk to lenders, resulting in higher rates. In Delaware, the average APR for a 15-year equity loan with an 80% LTV ratio is 8%, compared to 8.5% for a 90% LTV ratio. Use the table to see what average home equity loan rates you might qualify for based on your LTV ratio.

Average APRs also vary between cities in Delaware. Cities with higher living costs may see slightly higher rates, as lenders face increased operational expenses. Additionally, differences in property taxes or local fees can influence rates, affecting overall borrowing costs.

In Delaware, Camden has an average APR of 6%, while Claymont has an average APR of 10.4%. Below is a table showing the average home equity loan rates for cities in Delaware with different terms.

Home equity loan rates in Delaware vary significantly among lenders due to differing policies and market strategies. For instance, Dover Federal Credit Union offers the lowest average APR at 5.4%, while PNC Bank has the highest at 10.0%.

Comparing rates and terms from various lenders is advisable to secure the best possible home equity loan rates. Explore the interactive table below to see which lenders offer the lowest rates in your city.

Securing the best possible home equity interest rates can lower your monthly payments and overall costs, freeing up funds for other financial goals. To acquire the best home equity loan rates in Delaware, consider these strategies:

MoneyGeek answers common questions about home equity loan rates in Delaware, offering clear and reliable information to homeowners in the First State.