Home Equity Lines of Credit (HELOCs)
Home Equity Lines of Credit (HELOCs) are experiencing a resurgence due to both homeowners having trillions in tappable equity as well as many being locked into low-rate mortgages. Borrowers are seeking liquidity without refinancing. Banks and independent mortgage lenders are responding to this by expanding HELOC products, increasing limits, and embracing new technology and digitization. Current areas of focusing include securitizations gaining momentum, rising fraud threats, and intensifying competition is intensifying. HELOCs have re-emerged as a strategic growth lever for mortgage professionals.
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Closed-end home equity volume was up 13% year-over-year in the fourth quarter, outpacing HELOCs originations, which only grew 8%, TransUnion reported.
June 4
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More homeowners are willing to take out a HELOC versus three years ago, but a knowledge gap remains around the use cases for the product, MeridianLink said.
May 9
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Small-business owners will be given the option to tap into anywhere from $50,000 to $500,000 in financing.
April 24
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The top five banks have a combined HELOC volume of more than $90 billion at the end of Q4 2024.
April 8
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ACHM 2025-HE1 will repay notes using a pro-rata, sequential pay structure that must satisfy an overcollateralization test, and cumulative loss and delinquency triggers.
March 29
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The company turned to automation to address pain points it found in working with lines of credit that mortgage lenders are increasingly originating.
March 26
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Newrez's servicing arm approved an "obviously counterfeit" HELOC request from a bad actor totaling almost $500,000, a complaint claims.
December 31
The first three months of the year coincide with the start of President Donald Trump's second term in office. Investors are likely to be more interested in banks' outlooks amid swings in tariff policy than the first-quarter results.
