Home Equity Options | Compare Home Equity Rates | U.S. Bank

There are three basic ways to access your home’s equity: a home equity line of credit, a home equity loan (also called a “second mortgage”), and a mortgage refinance that gives you cash when you close on your new mortgage.

Home Equity Options: Key Benefits and Considerations
Loan type	Key benefits	Worth considering if you...
Home equity line of credit	Borrow as needed, with rates typically lower than other loans or credit lines Flexible repayment options with no up-front fees Lock in a fixed rate on existing balances anytime Interest may be tax deductible¹	Are planning a major expense with multiple payments over time Want to consolidate debt with flexiblity to borrow more funds in the future Want ongoing access to available funds for future needs
Home equity loan	One-time funding Competitive fixed rates with no up-front fees Enjoy the security of fixed rates and fixed payments for the life of your loan Interest may be tax deductible¹	Have a home-improvement project or other one-time expense over $15,000 Want to consolidate debt and stay focused on paying it off Want to keep your current mortgage in place
Smart Refinance	Refinance without closing costs Access to cash at close A great way to get new mortgage terms and borrow additional funds for one-time expenses at the same time Interest may be tax deductible¹	Owe less than $250,000 on your home Have a reason to refinance (e.g. to get a better rate, shorten your loan term or switch to a fixed-rate mortgage)
Cash-out refinance	Refinance with access to cash at close A great way to get new mortgage terms and borrow additional funds for one-time expenses at the same time Interest may be tax deductible¹	Owe more than $250,000 on your home Have a reason to refinance (e.g. to get a better rate, shorten your loan term or switch to a fixed-rate mortgage)

Home Equity Options: Key Benefits and Considerations
Home equity line of credit
Key benefits
Borrow as needed, with rates typically lower than other loans or credit lines Flexible repayment options with no up-front fees Lock in a fixed rate on existing balances anytime Interest may be tax deductible¹
Worth considering if you...
Are planning a major expense with multiple payments over time Want to consolidate debt with flexiblity to borrow more funds in the future Want ongoing access to available funds for future needs
Home equity loan
Key benefits
One-time funding Competitive fixed rates with no up-front fees Enjoy the security of fixed rates and fixed payments for the life of your loan Interest may be tax deductible¹
Worth considering if you...
Have a home-improvement project or other one-time expense over $15,000 Want to consolidate debt and stay focused on paying it off Want to keep your current mortgage in place
Smart Refinance
Key benefits
Refinance without closing costs Access to cash at close A great way to get new mortgage terms and borrow additional funds for one-time expenses at the same time Interest may be tax deductible¹
Worth considering if you...
Owe less than $250,000 on your home Have a reason to refinance (e.g. to get a better rate, shorten your loan term or switch to a fixed-rate mortgage)
Cash-out refinance
Key benefits
Refinance with access to cash at close A great way to get new mortgage terms and borrow additional funds for one-time expenses at the same time Interest may be tax deductible¹
Worth considering if you...
Owe more than $250,000 on your home Have a reason to refinance (e.g. to get a better rate, shorten your loan term or switch to a fixed-rate mortgage)