The Buckeye State is known for its Cincinnati chili, the Rock and Roll Hall of Fame, and its manufacturing industry. But if you’re a homeowner in Ohio looking to tap into your home’s equity, you’ll want to focus on another thing: finding the best HELOC rates.
You have a lot of options when it comes to home equity lines of credit in Ohio. So if you feel overwhelmed, we’re here to help. The LendEDU team has scoured the market to find the best HELOC rates in Ohio. Read on to explore top lenders and get tips for unlocking the lowest rates.
Here are our reviews of the best HELOC lenders in Ohio.
Best overall
Figure is a top contender for a HELOC in Ohio. We value its fixed interest rates, which offer consistent and predictable repayment terms. Unlike many other lenders, Figure simplifies the lending process by removing the need for an in-person appraisal, potentially reducing the time to receive funds to as little as five days.
Figure requires borrowers to access 100% of their line of credit—which can be between $20,000 and $400,000—right away. If you plan to spend the full amount immediately, this lender might be an excellent fit.
You can check your rate without affecting your credit score, making it an appealing option for homeowners who want to explore their borrowing potential without any obligation. Be aware of the origination fee, which can be as high as 4.99%.
Rates (APR) | 8.80% – 17.45% |
Loan amounts | $15,000 – $400,000 |
Draw period | 5 years |
Repayment term | 5, 10, 15, or 30 years |
Funding time | As few as 5 days |
Properties | Primary home, second home, or investment property |
Credit score | 640 |
Best credit union
Bethpage Federal Credit Union (FCU) offers distinct advantages in its fee structure and flexible rate options for Ohio residents.
Borrowers can obtain amounts ranging from $10,000 to $1 million with no application, origination, or appraisal fees, which can significantly lower the overall cost of securing a HELOC. The option to convert a portion of your HELOC to a fixed-rate loan is an appealing feature for those seeking stable repayment amounts.
Bethpage’s low introductory fixed rate of 6.99% for the first 12 months for applicants with VantageScores of 720 and above (followed by a variable rate) is an excellent offer.
This rate is contingent on drawing at least $25,000 at closing, making Bethpage FCU an excellent option for those looking to access a larger initial sum. Its comprehensive approach positions it as a top choice among credit unions for Ohioans seeking cost-effective, flexible home equity options.
Rates (APR) | 7.24% for 12 months, then variable |
Loan amounts | $10,000 – $2 million |
Draw period | 10 years |
Repayment term | 5, 10, or 20 years |
Funding time | 36 – 70 days, on average |
Properties | Primary homes, second homes, or condos |
Credit score | 670 |
Best marketplace
LendingTree stands out with its user-friendly platform, making it easy for Ohio homeowners to find the best HELOC rates. By providing multiple offers through a single application, LendingTree saves time and empowers borrowers with a wide comparison of available options.
It’s a favorite among users who appreciate having all the necessary information and tools accessible for making informed decisions.
Beyond its core service, LendingTree offers extensive lender reviews, tools, and resources to help prospective borrowers better understand their options. This educational approach, combined with the convenience of one-stop shopping for financial products, makes LendingTree a valuable resource for Ohio homeowners seeking HELOC options.
Rates (APR) | Starting at 6.24% |
Loan amounts | $10,000 – $2 million |
Draw period | 2 – 20 years |
Repayment term | 5 – 30 years |
Funding time | Varies |
Properties | Varies |
Credit score | Varies, 620 advisable |
Best for flexible qualification
Hitch allows Ohio homeowners to leverage up to 95% of their home’s equity, making it a terrific choice for those needing significant funds.
With loan amounts ranging from $25,000 to $500,000, Hitch accommodates a variety of financial needs, whether it’s for extensive home improvements or consolidating high-interest debt. Borrowers benefit from the personalized service of a dedicated loan officer, ensuring you’ll be treated like a person, not a number.
Hitch requires a minimum credit score of 640. One potential drawback is the requirement to draw the entire credit line at closing, which might not suit those seeking more flexible options. However, Hitch’s ability to provide substantial liquidity is a notable benefit for those planning significant investments.
Rates (APR) | 8.25% – 13.00% |
Loan amounts | $25,000 – $500,000 |
Draw period | 10 years |
Repayment term | 20 years |
Funding time | 21 days on average |
Properties | Most single-family homes, including apartments, condominiums, and houses |
Credit score | 620 (640 preferred) |
Rates for home equity lines of credit in Ohio generally align with the national average, so you can expect to find competitive offers whether you’re shopping locally or nationally.
Lenders in Ohio primarily base their rates on your credit score, debt-to-income ratio, and home equity. They also consider market conditions and the prime rate. The Consumer Financial Protection Bureau suggests reviewing loan offers from at least three lenders before deciding.
Ohio law mandates that if you get a HELOC from a credit union, it must comply with these requirements:
Before applying for a HELOC, make sure you understand the pros and cons. As always, you need to watch out for the risk of foreclosure. If you default on your HELOC payments, you could lose your home since your HELOC is secured by the property.
Your HELOC rate directly impacts your total loan cost. A higher rate means you’ll pay more interest over the life of the loan, while a lower rate can save you thousands of dollars.
Let’s look at an example to illustrate the importance of HELOC rates. Assume you have a $50,000 HELOC with a 20-year repayment period. Here’s how different interest rates affect your overall costs:
9% fixed rate | 12% fixed rate | |
Monthly payment | $375 | $500 |
Total interest paid | $90,000 | $120,000 |
Total loan cost | $140,000 | $170,000 |
In this scenario, a 3% difference in interest rate results in a $30,000 difference in total loan cost.
In reality, most HELOCs have variable interest rates, which means they can fluctuate at any time as the market shifts. However, some lenders offer the option to convert a portion or all of your balance to a fixed rate, which can help provide some stability.
HELOC repayment typically consists of two phases: a draw period and a repayment period.
Making principal payments during the draw period can help reduce your overall interest costs.
HELOCs and home equity loans typically offer greater lending amounts, but a personal loan may be the best option if a borrower only needs a small loan.
There are a few things you can do to increase your chances of getting the best HELOC rates in Ohio:
Specific steps will vary by lender, but you’ll generally follow this process to apply for a HELOC in Ohio:
Ask the expert
After determining the amount needed, the next step is to shop for terms that fit their financial condition/budget. I always recommend shopping at least three financial institutions and creating a want/need list and a pros and cons list to determine the best lender for you.
The lowest HELOC rates in Ohio are currently around the prime rate, which is 8.50% as of May 2024. If you find a lender that matches this rate or beats it, it’s generally considered a low rate.
That said, some lenders like Bethpage FCU have introductory offers that start around 6.99% for six months—so much lower than prime. Look out for these deals as you shop around.
Not all lenders publish their highest HELOC rates online. But of the lenders we researched, Figure had one of the highest maximum APRs at 17.20%.
We didn’t have any credit unions make our list, but the maximum APR for HELOCs at these institutions is usually 18% due to National Credit Union Administration (NCUA) regulations.
Some lenders do not offer HELOCs in Ohio. This can be for several reasons, including licensing requirements or the business’s operating model. You can check each lender’s website or call customer service for details on if it operates in the Ohio market.
But we have double-checked our list and can confirm that Figure, Hitch, Bethpage FCU, and LendingTree all lend in the state.
The post Ohio HELOC Rates and Lenders appeared first on LendEDU.