Compare TD Bank Home Equity Loans and Lines of Credit


Compare the benefits and features of our home equity financing options. Choose a TD Bank Home Equity Loan (HELOAN) for a predictable monthly payment and fixed interest rate, or a TD Bank Home Equity Line of Credit (HELOC) for funds when you need them. Home equity financing also offers rates lower than other forms of credit because your home acts as collateral.

What is a Home Equity Line of Credit?

What is a Home Equity Loan?

Features of home equity financing

A home equity line of credit is a flexible line of credit that you can draw funds from as you need them, up to your credit limit—only pay back what you use.

  • Low, variable rate, lower than some other forms of credit such as a credit card or personal loan
  • Option to lock your interest rate1
  • Checking overdraft protection available
  • No closing costs in most cases2

A home equity loan lets you borrow the funds you need all at once for a specific period of time. Your payments are fixed, so you’ll have peace of mind knowing what to expect each month.

  • Low, fixed rate, lower than many other forms of credit such as a credit card or personal loan
  • Find an option that fits your budget with terms from 5 to 30 years
  • No closing costs in most cases2

Best home equity financing option when

  • Your budget allows for variable monthly payments
  • You will need access to your money in different amounts at different times
  • You want the security of checking overdraft protection with TD EquityAccess PLUS
  • You want the option to have a fixed rate on all or a portion of your outstanding balance
  • You prefer consistent monthly payments
  • You know exactly how much money you need
  • You like the security of a fixed rate
  • You prefer that the loan be paid off in a specific period of time

Interest rates for home equity financing

  • Variable, with a fixed rate option (FRO)1
  • Rate discount available for TD Checking or Savings Account customers3
  • Fixed rate
  • Rate discount available for TD Checking or Savings Account customers who enroll in auto pay3

Terms

30 year HELOC term: 10-year interest-only draw period followed by a 20-year repayment period.

10 year interest-only draw period: Make withdrawals from your available credit balance and make interest-only payments on any balance you accrue during the first 10 years.

20-year repayment period: Automatically transition to principal and interest payments for the remaining 20 years of the loan after the 10 year draw period.

5, 10, 15, 20, and 30 year HELOAN term options

With these options you'll make principal and interest payments towards your loan balance immediately based on the term you choose.

Minimum home equity financing amounts

$25,000 or more—only pay for what you use

$10,000 or more—as a lump sum

How to access your home equity financing funds

You'll get personalized checks that are connected to your HELOC. Funds can also be withdrawn at any TD Bank location or from TD Online Banking or the TD Bank app.

Receive all HELOAN funds in one lump sum into your TD Bank account or with a certified bank check.

Maximum combined loan-to-value % (CLTV)4

Up to 89.99% of home's value4

Up to 89.99% of home's value4

Use your home's equity to help achieve your goals

As a homeowner, you can use your TD Bank Home Equity Loan or Line of Credit to help finance a variety of goals:

  • Fund home improvements
  • Consolidate high-interest debt
  • Refinance an existing mortgage
  • Make major purchases
  • Pay some education expenses. TD Bank does not offer closed-end loans (i.e., Home Equity Loans) for the purpose of post-secondary (college) education financing.5
  • Cover unexpected expenses

Calculate your home equity rate and payment

See rate and payment options to help you find the best loan to get cash out of your equity.

Home equity financing vs other lending options

See how home equity financing compares to personal loans, a cash-out mortgage refinance and credit cards.


Get the most out of your home's equity


1You must have an eligible, existing TD Bank Home Equity Line of Credit to have the option to fix the interest rate on all or part of the outstanding principal balance at any time during the Draw Period or Repayment Period (“Fixed Rate Option”). The maximum term of any Fixed Rate Option cannot extend beyond the Repayment Period. The minimum amount upon which you may fix the rate is $5,000. You may have up to three (3) Fixed Rate Options outstanding at any one time. The Fixed Rate Option rates are based on the current Home Equity Loan rates for a comparable term and any applicable rate discounts at the time the Fixed Rate Option request is made.

2Closing costs exist on loans and lines of credit greater than $500,000, investment properties, and co-ops.

3A TD Bank personal checking account is required to be eligible for this 0.25% HELOC rate discount. This relationship discount may be terminated and the interest rate on your Home Equity Line of Credit or Personal Unsecured Line of Credit account may increase by 0.25% upon closure of your qualifying checking account. For a Home Equity Loan or Personal Loan, rate discount requires automatic payment deduction from a personal TD Bank checking or savings account. This discount may be terminated and the interest rate on this account may increase by 0.25% upon cancellation of the automatic payment deduction.

4Combined loan to value (CLTV) is a percentage calculated by dividing your total outstanding mortgage(s) – or liens – by the market value of the property. Maximum combined loan to value (CLTV) is based on creditworthiness, property type, occupancy, lien position and loan amount. Occupancy is related to how you use the property. 1) Primary occupancy: a property in which you live most of the year; 2) Secondary occupancy: a property in which you live part of the year (e.g., weekends or vacations); 3) Investment: a property that is used by others, in which you may or may not receive rent.

5TD Bank does not offer closed-end loans (i.e., Home Equity Loans) for the purpose of post-secondary (college) education financing.

Loans subject to credit approval. Equal Housing Lender 

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