Home Equity Loan Rates in Hawaii (January 2025)

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.

Hawaii's home equity loan rates are generally in line with national averages — 7.8% APR for both 10-year and 15-year terms, compared to 7.7% and 7.9% nationally. We've compiled detailed insights on current home equity loan rates in Hawaii, 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 Hawaii is 7.8%, but several factors might affect what lenders offer. For instance, a higher credit score usually results in a lower APR, while a larger loan amount could lead to a higher rate. Repayment terms also play a role in determining your rate. Compare the current home equity loan rates in Hawaii across different loan terms in the table below.

Hawaii HEL interest rates change daily. Keeping track of rate changes can help you save thousands on interest over the life of your loan.

For example, a $50,000 home equity loan with a 15-year term at a 7.8% APR results in a monthly payment of $472 and a total interest of $34,973. In comparison, a 10-year loan with the same 7.8% APR has a monthly payment of $601 and a total interest of $22,164.

The rate you qualify for depends on your loan-to-value ratio, which compares how much you owe on your mortgage 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 example, if your home is valued at $300,000 and you owe $240,000, your LTV ratio is 80%.

A higher LTV ratio means greater risk to lenders, resulting in higher rates. In Hawaii, the average APR for a 15-year equity loan with an LTV ratio of 80% is 7.6%, while it's 8.0% for an LTV ratio of 90%. Use the table to see what rates you might qualify for based on your LTV ratio.

Average APRs also vary between cities in Hawaii. In larger or more densely populated cities, more lenders compete, which can lead to lower interest rates. Additionally, differences in property taxes or local fees can influence rates, as these affect overall borrowing costs.

In Hawaii, Kailua-Kona has an average APR of 7.0%, while Kapolei has an average APR of 7.9%. See the table below for average home equity loan rates across Hawaiian cities and their various terms.

Home equity loan rates in Hawaii vary significantly between lenders, influenced by their policies, risk assessments and market strategies. For instance, HFS Federal Credit Union offers the lowest average APR at 7.0%, while Operating Engineers Local Union #3 Federal Credit Union has the highest at 8.3%.

Comparing rates and terms from different lenders is the recommended way to secure the best possible home equity loan rates. See which lenders offer the lowest rates in your city.

Getting the best home equity interest rates can reduce your monthly payments and overall costs, freeing up funds for other financial goals. To secure the best rates, consider these strategies:

MoneyGeek answers common questions about home equity loan rates for homeowners in Hawaii, offering precise and reliable information.