Home Equity Line of Credit
KeyPoint offers a home equity line of credit that empowers you to achieve your life's goals.
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Home Equity Line of Credit

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You’ve cared for your California home, so make it work for you! KeyPoint Credit Union offers a home equity line of credit (HELOC) that empowers you to achieve your life’s goals: Finance home repairs and improvements, pay medical expenses, finance a college education, or consolidate debt.

  • Choose a low, fixed rate for the first 6 months, 3, 5 or 7 years
  • After the initial fixed period, you receive a variable rate as low as Prime
  • Pay no fees on lines of credit up to $500,000 (maximum cash-out $250,000)
Call our Mortgage Hotline to speak with a home loan expert: (408) 731-4278 (M-F 9:30-5:30).
    • Rates
    • Loan Subordination 
Home Equity Line of Credit
Rates Effective: 2/16/16
Introductory Period for Fixed RateIntroductory 1st Position Annual Percentage RateIntroductory 2nd Position Annual Percentage RateAfter Introductory Period, Prime Rate Plus 0% Annual Percentage Rate*Points and Fees**
6 MonthsAs low as 3.49%As low as 3.49%Floor of 3.99%0
3 YearsAs low as 3.74%As low as 3.99%Floor of 3.99%0
5 YearsAs low as 4.25%As low as 4.50%Floor of 3.99%0
7 YearsAs low as 5.50%As low as 5.75%Floor of 3.99%0

Equity loans and lines available for owner-occupied single-family California residences. Loans for townhouses, condominiums and 2-unit properties are available with different terms. The lowest rates as shown require (a) $20,000 loan or advance at closing; (b) 75% or better loan to value (LTV) ratio; and (c) automatic loan payments. Six-month introductory rate not available on Lines of Credit used as purchase money. No annual fee.

*Rate is variable, based on Prime Rate as published in The Wall Street Journal Money Rates Table (the \"Index\"), with a floor of 3.99% and a lifetime maximum variable APR of 16.00%.

**Zero (0) points and fees are available only on new loans and lines of credit, and are not available for refinances of existing KeyPoint loans. For a limited time, pay no fees to establish a Home Equity Loan or Line up to $500,000. Important Note: If you pay off the loan within 36 months, you will pay a $350 early closing fee on loan amounts up to $250,000, or $1,000 fee on loan amounts over $250,000. Fees to establish equity loans and lines over $500,000 typically range from $1,325 to $2,500.

Minimum loan amount is $20,000.

Subordination is a plan that can save you time and money if you have a KeyPoint Credit Union home equity loan or line of credit and you want to refinance your first mortgage. Refinancing your first mortgage doesn’t mean you have to pay off and close your KeyPoint Credit Union home equity loan or line of credit. Rather, you may be able to subordinate your home equity loan or line of credit.

The Relationship between First and Second Mortgages:

  • A first mortgage is a financial lien against your home. It is in the "first" position – that is, the first loan to be paid when you sell or refinance. 
  • A second mortgage – such as a home equity loan or line of credit – is in the "second position." Normally, once you pay off your first mortgage, the second mortgage lender moves into "first" position. 
  • Paying off the first mortgage (which you would do with a refinance) does not automatically pay off the "second" position loans. Therefore, homeowners often roll the payoff of their home equity loan (second mortgage) into the amount they refinance, which means that refinanced amount includes a payoff for the second mortgage. 
  • An alternative to paying off your Home Equity Loan or Line is to request a subordination agreement. This means you will refinance only your first mortgage, and KeyPoint Credit Union agrees to remain in the “second” lien position after the refinance is completed. 
  • This agreement allows the lender that refinances your first mortgage to assume “first” lien position on your title. 
  • If you qualify, you are able to refinance your mortgage and keep your home equity loan or line of credit open. This offers you several advantages. 

How Subordination Benefits You:

  • Maintain your low home equity loan rate and don’t exchange it for a higher rate that might apply to your mortgage refinance. 
  • Avoid fees that may be required if you pay off your equity loan or line of credit early. 
  • Avoid potential fees required to establish a new home equity loan or line of credit. 

What You’ll Need to Subordinate Your Home Equity Loan or Line:

  • The documents that KeyPoint Credit Union needs to review for a subordination request are the same ones you have to fill out to apply for your mortgage refinance. 
  • KeyPoint Credit Union will review these documents and determines if subordination is a good option for you. 
  • We can usually let you know within 10 days after we receive the necessary papers that you have been approved for subordination. 
  • Your first mortgage loan officer should be familiar with subordinations and can speed your subordination request by sending us the documents we need. 
Download our Subordination Request Checklist and get started today.