HOME EQUITY LOANS

Borrow at a lower rate with

a home equity loan.

View your rate

Checking your rate will not affect your credit score†︎.

See APR disclosure

✓ Access up to 85% or $350K of your home’s equity.
✓ Enjoy lower rates for consolidating debt or
home upgrades.
✓ Get flexible terms that work for you.

View your rate

Checking your rate will not affect your credit score†︎.

See APR disclosure

HOME EQUITY LOANS

Borrow at a lower rate with

a home equity loan.

View your rate

Checking your rate will not affect your credit score†︎.

✓ Access up to 85% or $350K of your home’s equity.
✓ Enjoy lower rates for consolidating debt or
home upgrades.
✓ Get flexible terms that work for you.

View your rate

Checking your rate will not affect your credit score†︎.

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How to get a
home equity loan.

Help us understand your needs.

Answer a few questions online to help us
assist you better.

Get paired with a dedicated Mortgage
Loan Officer.

You’ll be connected with an experienced SoFi
Mortgage Loan Officer who’s ready to help you get
the best home equity loan for you.

Submit your application.

Your SoFi Mortgage Loan Officer will help you submit your home equity application so you can get access to your cash.

Get started

What is a home
equity loan?

Home equity loans let you borrow
money by leveraging the equity in your
home. They’re one of the most
affordable financing options since
home equity rates are lower than
interest rates for most other types of
loans. These lower interest rates can
help fund big purchases, home
renovations, or consolidate high-interest debt.

Learn more

Home equity loan requirements:

Subtract the amount you owe from the market value of your home to evaluate your total equity.

You must have a 680 minimum FICO credit score to qualify for a home equity loan.

Your total income compared to the total you owe in loans and credit cards must not exceed 50%.

The combined total of your first mortgage and your home equity loan must not exceed 85% of your home’s total value.

View your rate

Checking won’t affect your credit score.†

A home equity loan could
help with that.

  • Pay down high-interest debt.

    You could save on your monthly payments
    when you consolidate credit cards or
    other unsecured loans into one lower rate.

  • Fund home improvements.

    Make your dream kitchen a reality without
    having to take on high-interest debt.

  • Make big purchases.

    Tuition, weddings, and vacations can get
    expensive. Instead of putting them on a
    high-interest credit card, a home equity
    loan could help you save on monthly payments.

Crunch the
numbers on your
home equity loan.

Home equity
loan calculator

Use this to determine your
home’s equity.




Learn more

HELOC monthly
payment
calculator

Get help
understanding your
monthly payments
with a home
equity
line of credit.

Learn more

HELOC
interest-only
calculator

Shine some light on potential
interest payments.



Learn more

HELOC repayment
calculator

Estimate how much you might be
paying with a home equity line of
credit.


Learn more

Why choose SoFi
for your home
equity loan?

%

No change to your existing mortgage rate.

Keep your current mortgage as is, no
need to refinance. And for qualified
borrowers, there are options to access
your home’s equity.

Finance almost anything
with up to $350K.

Access up to $350,000 of your home’s
equity (up to 85%) to finance home
improvements or consolidate debt.

Lower your monthly payment.

You could save compared to a high-
interest credit card or unsecured personal loan.

Get dedicated one-on-one support.

You’ll have a dedicated SoFi Mortgage
Loan Officer to help you find the right
loan option for you.

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Learn more about home equity loans.

More resources on
home equity

Get answers to questions like “What’s the difference between a home equity loan
and a HELOC (home equity line of credit)?”

FAQs

To start, you’ll need to have sufficient home equity, which is the difference between the market value and what you owe. You may have built home equity by paying down your mortgage and by seeing your home appreciate. You’ll go through an application process, and the lender will likely order a home appraisal to ensure that there’s enough value there to lend against. You’ll have a lot more paperwork than some other loans and will sign mortgage lien documents that give the lender the right to start proceedings should you fail to make payments. After closing on the loan, you’ll receive all funds upfront. Repayment starts shortly after.

Learn more: What Is a Home Equity Loan?

First, assess your financial situation – consider your income, how much equity you have available, if you have at least a "good" FICO® score, and your debt-to-income ratio. Exploring different loan options is encouraged!

Once you’ve found a fitting loan and are ready to apply, you’ll go through the application process, where you’ll submit information about your income, current mortgage, insurance, and other details the lender requests. If everything checks out, you’ll be able to close on your loan! Funds are disbursed around three business days after closing on the loan.

On a home equity loan where the funds are disbursed upfront and your interest rate is locked, the first payment will be due around 30 days after you close the loan.

Home equity loans are contingent on income, credit history, and debt-to-income ratio. LTV is also considered. LTV compares the amount you owe against your home with its current value. Lenders usually want to see an LTV no higher than 80%. (LTV = Loan Value ÷ Property Value.) On a $400,000 home, for example, that means that you should owe no more than $320,000.
It can take an estimated 30 days to close your loan. Funds are disbursed around three business days after closing on the loan. On a home equity loan where the funds are disbursed upfront and your interest rate is locked, the first payment will be due around 30 days after you close the loan.
A home equity loan offers a low interest rate because it uses your home’s equity to secure the loan. Because of the way it works, you may have access to a larger sum of money at a lower interest rate than you would if you used another source, such as a credit card. View your home equity rate here.

When it comes to how much home equity you can tap, many lenders allow a maximum of 90%, although some allow less, and some, more. In other words, your loan-to-value ratio shouldn’t exceed 90% in many cases.

If you’re taking out a second mortgage like a home equity loan or HELOC, your first mortgage and the equity loan compared with your home value is what is called the combined loan-to-value (CLTV) ratio. Most lenders will require a CLTV of 90% or less to obtain a home equity loan, although some will allow you to borrow 100% of your home’s value. For a better idea of exactly how much you can borrow, use SoFi’s Home Equity Loan Calculator.



Learn more: Ways to Pull Equity Out of Your Home
A home equity line of credit (HELOC) is a credit line secured by the value of your home, minus any existing mortgage owed. You can borrow against it, spend, repay, and borrow again using your home as collateral.

Learn more: What Is a Home Equity Line of Credit (HELOC)?
A HELOC is a revolving line of credit. You can take out money as you need it, up to your approved limit, during the draw period. You may be able to make interest-only payments on the amount you withdraw during that time, typically 10 years. A home equity loan is another type of second mortgage that uses your home as collateral, but in this case, the funds are disbursed all at once and repayment starts immediately. It is usually a fixed-rate loan of five to 30 years, and monthly payments remain the same until the loan is paid off.

Learn more: HELOC vs. Home Equity Loan
It is rare to have both a HELOC and a home equity loan. One would be a second mortgage and the other would be a third mortgage. Few banks are willing to lend money on a third mortgage, and for any that do, the interest rate would be high.

See more FAQs