Home equity loan rates drop in February, offering borrowers a chance to save

Home equity loan interest rates have decreased this February, averaging 8.57%, down from 9.07% last year. This drop makes home equity loans more affordable compared to personal loans and credit cards. Borrowers with good credit may benefit from locking in these lower rates now, as rates have recently increased slightly. Future rate hikes could occur if inflation rises, which lenders may respond to without waiting for Federal Reserve meetings. With no Fed meetings scheduled until March, homeowners are encouraged to review their options and secure a loan rate this month. Waiting for further rate drops may pose risks in the current economic climate.