What are today's home equity loan and HELOC interest rates?
What are today's home equity loan and HELOC interest rates?
If you’re a homeowner looking for lower-cost borrowing options, you may consider a home equity loan or HELOC today.
Read the full article on CBS Top Stories
Truth Analysis
Analysis Summary:
The article makes a general statement about home equity loans and HELOCs being potentially lower-cost borrowing options. While this *can* be true, it lacks specific rate information and context, leading to mixed accuracy. The article exhibits a slight bias towards promoting these financial products without fully disclosing potential risks or drawbacks.
Detailed Analysis:
- Claim: "If you're a homeowner looking for lower-cost borrowing options, you may consider a home equity loan or HELOC today."
- Verification Source #5: Bankrate reports the current average HELOC interest rate is 8.06% and the average home equity loan rate is 8.40%.
- Verification Source #2: U.S. Bank advertises a fixed APR of 7.65% for a 10-year home equity loan as of March 15, 2024.
- Analysis: This claim is partially accurate. Whether a home equity loan or HELOC is a "lower-cost borrowing option" depends on the individual's circumstances, credit score, and prevailing interest rates compared to other options like personal loans or credit cards. The statement is a generalization and lacks specific rate comparisons. It's also promotional in tone.
Supporting Evidence/Contradictions:
- Verification Source #5: Provides average interest rates for HELOCs and home equity loans, offering some context for the "lower-cost" claim.
- Verification Source #2: Provides a specific interest rate offered by U.S. Bank, which could be considered "lower-cost" depending on other available options.
- Verification Source #1, #3, #4: These sources advertise HELOCs and home equity loans, suggesting their availability and potential benefits, but don't directly address the "lower-cost" claim in a comparative way.