Home equity rates hover near 2026 lows but remain above first mortgages

Home equity borrowing costs stayed near 2026 lows on May 14, 2026, even as rates remained about 1 percentage point above 30-year conforming fixed mortgage rates, according to Curinos data. The average adjustable-rate home equity line of credit was 7.21%, down 3 basis points from a month earlier and just above the 2026 low of 7.19% reached in mid-March. The average fixed-rate home equity loan was 7.36%, down 1 basis point from April and matching its 2026 low. The rates are based on borrowers with credit scores of at least 780 and combined loan-to-value ratios of 70% or less. Second-mortgage pricing is typically tied to an index such as the prime rate, currently 6.75%, plus a lender margin. HELOC rates may include introductory offers that reset higher after six to 12 months. With refinance mortgage rates near 6%, borrowers with lower existing first-mortgage rates may use HELOCs or home equity loans to access equity without refinancing.