Home Equity Loan Rates in Virginia (November 2024)

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.

Virginia's home equity loan rates are similar and close to the national averages — 7.7% APR for a 10-year term, while it's 8.0% for a 15-year term (7.9% for national). We've compiled detailed insights on current home equity loan rates in Virginia, 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 Virginia is 7.9%, but several factors might affect what lenders offer. For instance, a higher credit score can secure a lower APR, while a larger loan amount might increase the rate. Repayment terms also play a role in determining your rate. Check the table below to compare the average APRs of home equity loans in Virginia across different loan terms.

Interest rates for a home equity loan change daily. Staying informed about these fluctuations can help you pay less in interest over the life of the loan, saving you money. Additionally, knowing the current rates lets you accurately plan your budget and future expenses, ensuring you're borrowing within your means.

For instance, consider a $50,000 home equity loan in Virginia. A 15-year term at 8.0% APR results in a monthly payment of $478 and a total interest of $36,009. In contrast, a 10-year term at a 7.7% APR has a monthly of $599 and a total interest of $21,849. Understanding these differences can guide you in choosing the most cost-effective loan option.

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 means more risk to lenders, leading to higher rates. In Virginia, the average APR for a 15-year equity loan with an LTV ratio of 80% is 7.8%, compared to 8.4% for a 90% LTV ratio. Check the table to see the average home equity loan rates you might qualify for based on your LTV ratio.

Average APRs also vary between cities in Virginia. Cities with higher home values or rapid appreciation often experience lower rates, as lenders perceive these loans as less risky. In contrast, cities with higher living costs may see slightly higher rates because lenders face increased operational expenses.

In Virginia, Front Royal has an average APR of 5.5%, while Farmville has an average APR of 9.6%. See the table below for average home equity loan rates across Virginia cities with different terms.

Home equity loan rates in Virginia can differ widely among lenders, depending on their policies and market strategies. For instance, Front Royal Federal Credit Union and Citizens and Farmers Bank offer the lowest average APRs at 5.5%, while Spectra Federal Credit Union presents the highest at 12.5%.

Comparing rates and terms from different lenders is crucial to securing the lowest home equity loan rates. Explore the interactive table below to find lenders offering the most competitive rates in your city.

Getting the best home equity loan rates can lower your monthly payments and overall loan costs, freeing up money for other goals. Imagine saving hundreds each month by securing a favorable rate. To achieve the best home equity loan rates in Virginia, consider these strategies:

MoneyGeek provides Virginia homeowners with reliable answers to frequently asked questions about home equity loan rates. By offering clear insights and factual information, we help you navigate your financial options confidently.