Home Equity Loans & Lines of Credit

Home Equity Loans & Lines of Credit

Reach Your Financial Goals with Home Equity Loans From United Teletech Financial


Everyone has unique financial goals both large and small. You might want to add a pool as the cherry on top of your dream home. Or, you might wish to go back to school to expand your career. No matter what your future holds, it takes cash to make it happen. United Teletech Financial can help.

Our home equity loans and HELOCs can make any dream a reality from quick home repairs to financing that big wedding. They offer the low-interest rates you want with the flexibility you need to move forward.

Fixed Home Equity Loans with Rates as Low as 2.99% APR*

Do you have equity in your home? If so, you have the option to take out a fixed home equity loan using that amount of equity. Through this loan, you can take out a set amount of money and pay it back in fixed monthly payments over a fixed term.

  • 5, 7 and10 year terms available
  • Rates as low as 2.99% APR*

HELOCs: Home Equity Lines of Credit with Rates as Low As Prime + 0%

Have you already set your financial plans into motion? If you're expecting large expenses or you don't know how much you'll need to borrow, a home equity line of credit or HELOC is a perfect option for you. HELOCs give you a line of credit you can draw from (similar to credit cards). Plus, they have a 10-year draw period with a 5-year repayment period.

  • Rates as low as Prime + 0% (currently 3.25%)

For both fixed home equity loans and HELOCs, your mortgage and loan must be less than 85%** of the value of your home. Check out our free calculator to determine your loan amount with your desired payment.

Apply for Your Home Equity Loan Today

Realizing your financial dreams is simple at United Teletech Financial. Apply for your Loan or Line of Credit by using our online form, or calling our loan team. Get Started Now!


Why Choose United Teletech Financial for Your Home Equity Loan?

United Teletech Financial is a not-for-profit financial institution; this allows us to offer competitive rates and fees to all of our members who live, work, worship or attend school in Monmouth County. We're dedicated to being your partner in reaching your financial goals, offering the same access, approval speed and features traditional banks offer plus more.

Becoming a UTF member is as easy as opening a savings account. As a member, you'll have access to our low home equity interest rates, financial coaching and more.

Home Equity Calculator

Home Equity Calculator

Answers to Your Frequently Asked Questions About Home Equity Loans

Home equity loans and HELOCs are the perfect way to use an asset you already have, your home, to reach for what you want. Have questions? Here are some answers to the most frequently asked questions about these loan types.


  What is the difference between a Home Equity Loan and a Home Equity Line of Credit (HELOC)?

Both have relatively low rates and similar requirements needed for approval, however home equity loans have fixed rates, while HELOCs have a variable rate that is tied to the prime rate.

Home equity loans are best when you know about how much you want to borrow and would prefer a fixed interest rate and a fixed monthly payment.

HELOC’s are best when you want to be prepared for unexpected expenses or if you do not know how much you will need to borrow.


  What are the requirements needed for a Home Equity Loan and HELOC?

If you own your own home, have enough equity in that home, have decent credit history and have enough income to satisfy the monthly payments, then you will likely meet the requirements for a home equity loan or line of credit.


  What alternatives are there to a Home Equity Loan or HELOC?

If you don’t own a home or if you do not have enough equity in your home, you still may be able to borrow funds with another one of our other loan products such as a personal loan or a credit card.


  What are the benefits of a Home Equity Loan or HELOC?

Typically your interest rate will be much lower than your alternatives, such as credit cards or unsecured loans.

The interest you pay is usually tax deductible, which can result in lowering your tax obligation. Consult your tax advisor as to the deductibility of your interest.


  How do I figure out how much I can borrow?

If the terms of the home equity loan have a maximum Loan To Value (LTV) of 85%, then you can borrow up to 85% of the value of your home inclusive of any other mortgages you already have on the property.

For example: If your home is worth $100,000 and you currently have a mortgage of $50,000. Then your current LTV is 50%. That means you can borrow up to another 30% (50%+30% = 80%) of the value of your home, which would be $30,000.

Our Home Equity Loans & Lines both have a max borrowing amount of $250,000.


  Other than interest charges, are there other costs associated with a Home Equity Loan or HELOC?

Home equity loans sometimes include closing costs. These closing costs typically vary between $0 and $1,000. Closing costs can often be rolled into the loan itself so you can pay them off over time. Please speak with a Lending Officer to determine how much a home equity loan or line of credit would cost you.


  How do I decide between a  5-year, 7-year, and 10-year term?

The different term lengths will affect the size of your monthly payment obligation. The longer the term, the lower your monthly payment obligation will be. You’ll want to make sure that you are going to be comfortable making the required payment each month before committing to a certain term.

The interest rates are usually more favorable, the shorter your term is, so if you can handle a larger monthly payment; the shorter term will likely save you in interest expense.


  Can I pay off my home equity loan or line of credit early?

Yes, our home equity loans and lines of credit have no pre-payment penalty, so you are free to pay it off partially or in full at any time, which will save you money in interest expense.


Loan Protection

APR=Annual Percentage Rate. APR=Annual Percentage Rate. APR is based on Wall Street Journal Prime Rate plus 0.00% to 0.50%, depending on creditworthiness, and is not to exceed 16%. Prime rate as of 4/24/2020 is 3.25%. Prime rate may change at any time without notice.  Stated rate is based on creditworthiness, and includes discount for automatic payment from a qualifying United Teletech Checking account. Minimum Draw of $25,000 Required.  HELOC may not exceed 80% Combined Loan-To-Value (CLTV). Max Line amount is $250,000. Fees from $511 to $925 may apply. Offer available to qualified borrowers on 1-4 family primary NJ residences. Offer not valid for refinancing of existing UTF Home Equity Lines less than eight (8) years old. Property insurance is required.  HELOC rates adjust monthly based on prime rate. The prime rate listed in the Wall Street Journal on the 3rd Thursday of the preceding month will be used to determine rate adjustments. Floor is 3%. Those securing a non-single family home may require more equity.  Stated rates are for new loans. Members wishing to refinance an existing UTF loan must pay a fee of 1% of the existing balance.

** If your CLTV is above 80%, you are not eligibile for the introductory rate, but may still be eligible for a HELOC

**Loans with over 80% CLTV may have different pricing

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