Unlock Your Home's Equity

Effective January 1, 2026

*APR = Annual Percentage Rate. Rate is quoted as low as and applies to Home Equity Lines of Credit with a loan to value (LTV) of 80% or less. Other rates and terms are available. Rate is tied to the variable Prime Rate. The index is the Prime Rate published in the Wall Street Journal. Rate subject to change without notice.

**APR=Annual Percentage Rate. Rate is quotes as low as and applies to Fixed Rate Home Equity loans with a loan to value of 80% or less. Other rates and terms are available. Rates subject to change without notice.

Home Equity Lines of Credit and Home Equity Loans are secured by equity in your primary residence, most commonly in a second lien position. Loan approval is subject to credit review and approval. Interest Rates are adjusted periodically and are subject to change without notice along with loan terms.  Homeowner’s property insurance is required. Flood insurance may also be required based on a flood determination report that is accessed at time of application.

Closing costs will apply to Home Equity Loans and Lines of Credit and vary based on the loan amount. Example loan amounts of $10,000 - $100,000 would have applicable fees ranging from a minimum of $400 up to $650. These fees are based on a standard valuation process, if an appraisal is deemed necessary either by the member of through the loan approval process these fees will be increased based on the standard appraisal fees. Fees are subject to change at any time without notice.

The Annual Percentage Rate (APR) for Home Equity Lines of Credit are based on the Wall Street Journal Prime Rate (“Prime”) plus a margin and will vary with change in the Prime rate.  APR minimum is 3% with a maximum of 11%. Your APR will be determined based on the Prime Rate at time of loan origination along with credit qualifications and Combined Loan-to-Value (CLTV) on subject property.  Home Equity Lines of Credit have a 10 year draw period followed by a 10 year repayment period.

Home Equity Line of Credit payment will be 1% of the outstanding loan balance at the time of payment calculation or $100, whichever is greater.

NMLS: 403380

Contact a Real Estate Lending Advisor for details. Call:  507-288-0330

A Home Equity Line of Credit (HELOC) is a great choice for someone who likes having the flexibility to draw funds when they need it and can use it for most any purpose.

• Designed for use in your primary residence.

• An open-ended line of credit you can manage through Online Banking.

• Monthly payment changes based on the amount you owe.

• The interest you pay may be tax deductible - consult your tax adviser for more information.

Unlike a HELOC, which is a variable rate line of credit, a fixed rate home equity loan is a closed end loan with a fixed interest rate. It's an especially good option if you're going to make a large one-time investment, such as repairing or remodeling your home, or buying a second home.

• The interest rate and monthly payment remain the same over the life of the loan.

• The interest you pay may be tax deductible (consult your tax adviser for more information). 

What does Loan-to-Value mean for my home's equity? Loan-to-value, or LTV, compares the amount you owe on your home with its current appraised value. It is expressed as a percentage and helps determine how much equity may be available for a Home Equity Loan or Home Equity Line of Credit. For example, if your home is valued at $300,000 and you owe $180,000 on your mortgage, your LTV is 60%. If you borrow another $60,000, your total amount owed would be $240,000, making your LTV 80%. Your available loan amount may also depend on your income, credit history, existing mortgage balance, and other factors. Our lending team can help you estimate your LTV and talk through your options.

Do home equity loans require a down payment? No! Home equity loans don't require a down payment, because you are using the equity in your home as collateral. However, there are typically closing costs and other fees assessed for home equity loan. Your lender will discuss these additional costs for your specific situation before your loan closes.

How much of my home's equity can I use for my loan? We recommend keeping the loan-to-value ratio under 90%. For example, if your available equity is $100,000, we would suggest using no more than $90,000 to fund your loan's collateral. However, each person's situation is different and other factors may effect the amount of equity you're able to access for your loan. It's best to speak with our lending team and discuss your specific situation.

How long does the loan application process take?  It varies depending upon your specific situation. Typically, if no appraisal is needed, it will take about two weeks. If an appraisal is needed, then the process will take longer, possibly up to four weeks. Our lenders will keep you up to date on the progress of your appraisal and your home equity loan.

Where does the home equity loan close? A home equity loan or line of credit closes in our branch offices. Your lender will work with you to determine the best time and location to complete your loan closing.

Still have questions about using your home's equity? Check out these free resources:

• What You Should Know About Home Equity Lines of Credit

• How a Home Equity Loan Works

• Should I get a Home Equity Loan or a Home Equity Line of Credit?

• Pros and Cons of a Home Equity Loan

• 6 Questions to Ask When Choosing a Home Equity Loan