Updated: November 16, 2024
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The best home equity line of credit (HELOC) lender in Montana is U.S. Bank with a MoneyGeek score of 96 out of 100, followed by Horizon Credit Union with a score of 94 out of 100.
The average HELOC limit in Montana is $114,846. How much you can borrow often depends on factors like your home's equity and credit score.
Comparing rates can help you find lenders that meet your needs. MoneyGeek compiled the best HELOC rates in Montana, updated weekly to assist you.
The average HELOC balance in Montana for the third quarter of 2023 was $50,559, according to Experian. Calculating your HELOC payments helps you manage this debt effectively and plan for any financial adjustments.
Use our HELOC payment calculator to estimate your monthly payments based on the amount drawn, APR and loan terms. The full amortization schedule shows how much of your payments go toward interest and principal over time.
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.
Draw Period Payment
Repayment Period Payment
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Home equity lines of credit (HELOCs) are popular in Montana due to their flexibility and the control they offer over borrowing and repayment. These features allow homeowners to adjust line amounts and timelines as needed. Explore the various ways you can use a HELOC.
Home Improvements or Renovations
A HELOC is great for home improvements, offering flexibility as costs change. It lets you access funds as needed, helping your renovation plans adapt without financial strain.
Consolidating High-Interest Debt
The average 2023 consumer debt in Montana was $104,133. Using a HELOC for debt consolidation can simplify payments and reduce interest.
Funding Education
A HELOC offers better terms for education expenses like tuition and books than other debts. Its flexible funding option makes it a practical choice for covering education costs.
Investment Properties
Using a HELOC for investment properties can enhance returns. Shop around for the best HELOC lenders for investment property to secure favorable rates and terms.
Understanding the steps to apply for a HELOC in Montana is key to navigating the process smoothly. We've broken down this journey into six steps below.
Review your credit score, debt-to-income ratio and home equity before applying for a HELOC. In Montana, the average credit score is 732 in the third quarter of 2023, based on Experian data. Having this score or higher can improve your chances of approval.
Comparing rates can help you secure the best HELOC deal. Also, evaluate repayment terms, fees and the option for a fixed-rate HELOC. This approach ensures choosing a lender that aligns with your financial goals.
Preparing the necessary documents can streamline your HELOC application. Commonly required documents include proof of income, recent tax returns and information about your mortgage and home value.
Submit your HELOC application online or in person if your lender has a branch. Ensure accuracy to avoid delays.
Some lenders may require a home appraisal to determine your home's current market value, impacting your HELOC terms.
The HELOC approval process can take two to six weeks. Once approved, you'll proceed to closing, which may involve signing documents and paying closing costs. Some lenders might cover part of these costs.
The average HELOC limit in Montana for the third quarter of 2023 was $114,846, according to Experian. The maximum amount you can borrow with a HELOC is usually tied to your home equity. The more equity you have, the higher your potential credit limit.
Check out the table below for the range of credit lines offered by Montana lenders in our database.
| Black Hills Federal Credit Union | From $10,000 |
| Horizon Credit Union | From $10,000 |
| Mountain America Federal Credit Union | From $12,000 |
| U.S. Bank | $25,000 to $750,000 |
| Whitefish Credit Union Association | From $10,000 |
Most lenders will allow you to take out up to 90% of your home's equity. For example, if your home is appraised at $400,000 and you owe $200,000 on your mortgage, you could potentially take out up to $160,000 on a HELOC if you meet the requirements of that lender.
U.S. Bank is the best HELOC lender in Montana, with a MoneyGeek score of 96 out of 100. It has excellent customer service and education, a strong reputation and transparency, an efficient application process and quick approval.
When looking for the best HELOC lenders for bad credit, consider factors like flexibility in credit requirements, the lender's willingness to work with lower credit scores and the possibility of higher interest rates.
Consider interest rates, fees, borrowing limits, repayment terms and the lender's reputation when choosing a HELOC lender.
Common fees associated with HELOCs include origination fees, annual fees, application fees and early closure fees.
The typical draw period for HELOCs lasts 10 years, but some lenders may offer more flexible options.
Look for lenders that offer fixed-rate HELOC options or allow interest-only payments during the draw period.
MoneyGeek's scoring system offers a comprehensive overview of how each lender performed in areas that matter most to borrowers. We allocated scores based on the inclusion or exclusion of certain desirable features in various critical categories.
We completed our analysis in October 2024 and considered different banks and credit unions in Montana from S&P Global's SNL Depository Rates dataset.
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.
