Turn your home’s equity into opportunity
Put your home to work for you. With our home equity loans and home equity lines of credit, you can finance home improvements, a major purchase, or even consolidate debt—all with the confidence that comes from working with a trusted local lender.
Choosing your home equity
Home Equity Loan
A fixed loan option perfect for those who want stability and consistency.
- As low as 6.613% APR1
- Fixed loan amount: Receive your funds upfront.
- Fixed rate: Your rate and monthly payments won’t change for the life of the loan.
- Flexible terms: Choose from 5, 10, or 15 years.
- Consider this option if you prefer a fixed loan amount, rate, and payments
Home Equity Line of Credit
A flexible credit line you can use as needed.
- As low as 7.000% APR1
- Revolving credit line: Borrow and repay funds as needed.
- No balance requirement: Only borrow what you need.
- Consider this option if you prefer flexibility with amount of credit you plan to use
To apply, you must be 18 years of age or older and live, work, worship, or attend school in Essex, Middlesex, Suffolk, or Worcester County.
Benefits
Access up to 100% of your home’s value, less your first mortgage.
Loan or Line amounts of $15,000 or more come with zero standard closing costs.
Refinance of an existing Loan or Line may be subject to closing costs.
Enjoy lower rates and greater lending amounts compared to credit cards or personal loans.
Current Rates
| Type | Rate | APR1,5 | EMP3 (per $1,000) |
|---|---|---|---|
| Home Equity Loans | |||
| 0-5 Years | 6.500% | 6.613% | $19.57 |
| 6-10 Years | 6.875% | 6.940% | $11.55 |
| 11-15 Years | 7.125% | 7.197% | $9.06 |
| Max Equity Loans | |||
| 5 Year | 7.875% | 8.014% | $20.22 |
| 10 Year | 8.125% | 8.203% | $12.20 |
| 15 Year | 8.500% | 8.560% | $9.85 |
| Home Equity Line of Credit13 | |||
| New Equity Member14 | 7.000% | ||
| Refinanced | 7.500% | ||
| Max Equity Line of Credit15 | 8.750% |
5:All home equity lines of credit APRs are based on the Prime Lending Rate published in the Wall Street Journal, currently at 7.500% as of 12/19/2024. Rates apply to 1-4 unit owner occupied primary residences. Rates subject to change without prior notice. Underwriting guidelines available upon request. Early termination fee applies.
3:EMP = Estimated Monthly Payment.
13:Home equity lines of credit are fixed for the first 24 months and then Prime Rate for life. Minimum APR is 7.500% and the maximum APR is 15.000%. Home equity lines of credit have a 40-year term; 20-year draw period with a minimum monthly payment of the greater of $50.00 or 0.250% of the ending balance plus the amount of finance charge accrued on outstanding advances each month followed by 20-year repayment period with principal and interest payments.
14:New Equity Promotion. Prime Rate minus 0.50% for 24 months then Prime Rate.
15:Max equity line of credit is fixed for the first 24 months and then prime plus 1.250%. Minimum APR is 9.000% and the maximum APR is 15.000%.
Make sure you’re protected
In order to get the most out of your home, you have make sure it’s adequately protected. We’re pleased to offer homeowners insurance through our subsidiary, WebFirst Insurance, LLC., for peace of mind from a team you trust.
WebFirst Insurance’s experienced agents will work with you to make sure you get the right coverage for your needs and budget. Selecting to cover both your auto insurance and homeowners insurance through WebFirst Insurance can deliver discounts of up to 20%.
Learn MoreApply online today
Don’t wait to turn your plans into reality. Applying is fast, easy, and secure. Our dedicated loan team is here to help every step of the way. Start financing your goals today with the credit union you can trust.
(774) 823-1665
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Thursday & Friday: 8:00 a.m. – 5:00 p.m.
Saturday & Sunday: Closed
Award-winning service
2025: Newsweek Best Regional Banks and Credit Unions
2024 Winner: Best of Central Mass
2024: Newsweek Best Regional Banks and Credit Unions
2023 Top Lender: Banker & Tradesman
2023 Winner: Best of Central Mass
Rated 5 Stars Bauer
2022 Top Lender: Banker & Tradesman
FAQs
What is Home Equity?
Simply stated, home equity is what your home is worth, minus anything you owe. In other words: Equity = Home Value – Liens.
Say you’ve taken out a 30-year mortgage for $280,000 on a home that is valued at $350,000. You’ve been making payments for 10 years, and the remaining balance of your loan is now $145,000. The difference between the current market value of the home and what you have left to pay is the amount of equity you have. In this case, it’s $205,000. This amount can vary based on what your home is worth at the time of calculation. The larger the down payment, the more equity you have on your home immediately. Because the borrowers in this example made a 20% down payment, they started with $70,000 in equity right away.
Is a home equity loan or line of credit better for me?
Many people use these to make improvements on their home, but they can also be used for various other reasons. See Home Equity Loans vs. Home Equity Lines of Credit for help with choosing which one is right for you. At Webster First, we will pay all of your standard closing costs for you. However, if you refinance or payoff a HELOC before having it open for two years, you will need to pay the closing costs.
Home Equity Loans have a fixed rate for their entire term, while HELOCs are fixed for the first two years, and adjusted to prime rate thereafter.
How does the draw period on my HELOC work?
HELOCs (less than 80% Loan-to-value) have a 40 year term: 20 year draw period and 20 year repayment period.
Max Home Equity Lines of Credit (over 80-100% Loan-to-value) have a 20 year term: 10 year draw period and 10 year repayment period.
How am I billed?
Home Equity Loan and HELOC bills are cut on the 16th of the month with a due date of the 15th on the following month. There are no late fees on these loans, however, you will still be reported to the credit bureaus as late after 30 days have gone by.
Note: If you make a HELOC payment on the 16th or later, the payment will satisfy the interest for both months first, then any remaining balance will be applied to principal.
What is a Finance Charge?
You will see the term “Finance Charge” on HELOC bills. This is just another way of saying interest. The monetary amount you see under Finance Charge is the amount the credit union charges you for the loan.
How do I pay down or pay off my Home Equity?
Contact the Mortgage Servicing department at (800) 962-4452 Ext 4094 or mortgageservicing@websterfirst.com to receive a quote (or have your attorney do it). Payment can then be applied by mailing in a check, transferring the balance from another account, or dropping off the funds in branch. If you are transferring funds from another account, have the mortgage servicer apply the payment to ensure it is done correctly.
Once you have received a quote for a HELOC, it is important that you do not draw funds from it until your pay down, payoff, or refinance is complete, as this will change the numbers on the quote.
What’s the difference between a paying down and paying off?
Because a HELOC is a revolving line, paying it down means paying the balance down to $0 but leaving the line open for you to draw off of in the future. Paying off a HELOC means that your line will be closed and discharged at the registry of deeds, and no additional funds can be drawn from it. When you receive your quote for a payoff it will have a discharge fee included, while a quote for a pay down will not.
Additionally, a payoff quote for a HELOC that has been open for less than two years will have your closing costs included in the fee section. A pay down would not.
Fixed Home Equity loans cannot be paid down. All available funds are disbursed to you immediately in the form of a deposit, and you pay back the funds for your selected term (up to 15 years).
How do I increase my HELOC limit?
The only way to increase the limit of your HELOC is to refinance into a new one. Talk with one of our licensed loan officers to do this.
What is a Max Equity?
Max Equities are any Home Equity Loan or LOC with an LTV (Loan-to-Value) ratio of over 80%. This can happen when the value of the house doesn’t come in high enough on the appraisal. These loans have a 10-year draw period and 10-year payback period regardless of the state the property is in. They will have a higher interest rate and PMI, but the credit union will pay PMI for you on an equity just as it pays the closing costs.