Is a HELOC or home equity loan better for borrowers now?
There are pros and cons of both options in this market, but one could make more sense than the other, experts say.
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August 17, 2026 / 9:52 AM EDT / CBS News
Between today's high inflation and soaring gas prices, more Americans may be finding themselves in need of extra cash to cover their essentials. Borrowing money isn't always affordable in today's landscape, though. After all, credit cards come with double-digit rates and increase the risk of compounding financial challenges even further.
For those who own a home, home equity lines of credit (HELOCs) and home equity loans can be good alternatives. These equity-tapping options generally come with lower rates than credit cards and many other lending products, and they can offer access to large loan or credit line limits that can be used for nearly any purpose.
But which is the best option in today's climate? Here's what experts say homeowners should think about before choosing a home equity product now.
Find out more about your home equity borrowing options online now .