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How much would a $100,000 home equity loan cost per month now that rates are cut?
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If you’re a homeowner who’s considering tapping into your home equity with a home equity loan, now may be an opportune time to make your move. Right now, the average homeowner has about $327,000 in home equity at their disposal, an increase of about $28,000 compared to February 2024. What that means is that you may have a significant amount of home equity to borrow against — and in many cases, you can do so at an affordable rate.
Because home equity loans are secured by your home, this type of borrowing tends to be one of the most cost-effective ways to secure a substantial loan — whether you’re looking to renovate, consolidate debt or cover large expenses. And the recent Federal Reserve rate cut, which dropped the benchmark rate by 50 basis points, has made home equity loan rates more attractive than they were just a few months ago.
Before you tap into your home equity, though, it’s important to understand what your monthly payments could look like, especially now that rates have been cut. So how much would a $100,000 home equity loan cost per month at today’s interest rates?
See what home equity loan rate you could qualify for here.
How much would a $100,000 home equity loan cost per month now that rates are cut?
When you borrow money with a home equity loan, the rate on your loan is fixed, meaning that it won’t change with fluctuations to the wider rate environment. The rate you lock in when you take out your loan is the rate you’ll keep (unless you refinance your home equity loan at some point). That makes it simple to calculate how much you could pay each month on your loan.
That said, the monthly payment on a $100,000 home equity loan depends largely on two factors: the interest rate you qualify for and the loan’s repayment period. There are two common repayment periods on home equity loans — 10 years and 15 years — and the average 10-year fixed home equity loan rate is currently 8.50% while the average rate on a 15-year home equity loan is 8.41% right now. Based on those repayment terms and rates, here’s how much you can expect to pay each month on a $100,000 home equity loan:
- 10-year fixed home equity loan at 8.50%: $1,239.86 per month.
- 15-year fixed home equity loan at 8.41%: $979.47 per month.
While homeowners who secure a home equity loan now may lock in relatively low payments, it’s worth noting that rates could drop even further over the next few months. If inflation continues to stay low or fall, it’s likely the Fed will make additional interest rate reductions later this year, which could lead to even lower borrowing costs for new home equity loans.
For example, if the Fed were to conduct another 50-basis-point rate cut, and the average interest rate for a 10-year home equity loan were to fall by the same amount, dropping to 8.00%, the monthly payment on a $100,000 loan would decrease to $1,213.28. While this might seem inconsequential given that you’d only save about $25 per month, it adds up to over $3,000 in total savings over the life of the loan.
Similarly, if the 15-year home equity loan rates were to fall to 7.91% (dropping by the same 50 basis points), it would result in a monthly payment of approximately $950.46, saving you over $5,000 in interest across the loan term compared to current rates.
Given these potential savings, some homeowners might consider waiting for further rate cuts before locking in a loan. However, predicting interest rate movements is difficult, and it may be worth securing a favorable rate now if you need immediate access to funds — just in case rates increase again in the future.
Learn about today’s best home equity loan options here.
The bottom line
The recent interest rate cuts have made home equity loans more attractive, with a $100,000 loan potentially costing between about $979 and $1,239 per month, depending on the repayment term and the current interest rate. Home equity loan rates can vary significantly from one lender to the next, though, so if you’re planning to take out this type of loan, you should be sure to shop around, compare offers from multiple lenders and be ready to apply for the right loan when you find it. By doing so, you can capitalize on this favorable lending environment and secure a home equity loan that aligns with your financial goals and budget constraints.
The Chicago White Sox on Friday broke Major League Baseball’s 62-year-old single-season record with the most losses during a season with their 121st defeat against the Detroit Tigers.
The White Sox lost the game 4-1. This came after they had won three games in a row against the Los Angeles Angels and had hovered at 120 losses.
On Thursday, the Sox shut out the Angels 7-0.
The 121 losses eclipsed the total that the 1962 expansion New York Mets recorded. The White Sox had already surpassed the 2003 Detroit Tigers, a team that lost 119 games, setting the American League record. MLB only counts records set in the modern era, which began in 1900, so the 1899 Cleveland Spiders’ all-time record of 134 losses is not included.
The incredible feat of futility was the culmination of a long, grueling season in which the White Sox recorded multiple double-digit losing streaks, including a 14-game skid from May 22 to June 6, and then an American League-record 21-game losing streak between July 10 and Aug. 5. All that losing led to the firing of manager Pedro Grifol during just his second season at the helm. In less than two seasons, Grifol led the team to more than twice as many losses as he did wins.
Grady Sizemore took over as interim manager for the rest of the season.
The White Sox then recorded another 12-game losing streak that lasted from Aug. 23 through Sept. 3.
Jeff Chiu / AP
It’s been a season unlike anything fans of the franchise, which will mark the 20th anniversary of its last World Series win next year, have ever seen. The team’s winning percentage through Sunday of .231 is still significantly behind the next-worst season in franchise history, the 1932 White Sox that went 49-102-1 and posted a winning percentage of .325.
Until this season, the White Sox team with the most single-season losses in franchise history was the 1970 team, which went 56-106. This year’s team is just the sixth in franchise history to record 100 or more losses in a season, according to Baseball Reference, which has team statistics going back to 1901, the year the American League formally organized.
“I feel your pain”
The White Sox record has been so bad that even the team’s official X (formerly Twitter) account has been having some fun with the piling up of losses lately.
On Sept. 18, after a loss to the Angels, the team’s post for its final score read, “FINAL: the other team scored more runs than us.”
Last Saturday, the team posted, “FINAL: can be found on the MLB app,” after a loss to the Padres.
Then on Sunday, the team’s account posted a version of a widely used GIF of a car attempting to quickly drive onto an exit ramp, representing the team’s social media administrator, turning away from posting the final score and instead opting for “literally anything else.”
The Sox kept it up on social media after the Friday night loss.
A post read:
Things we’d rather do than read comments:
- Get a root canal
- File taxes
- Eat 5,000 saltine crackers without water
- The cinnamon challenge
- Put ketchup on a hot dog
- Bear crawl across the Sahara Desert
- Walk barefoot on an L train
The post also showed a separate window on a computer desktop screenshot showing a dejected Southpaw White Sox mascot, with the text, “slams laptop shut til tomorrow.”
The situation even prompted famed horror writer and Boston Red Sox fan Stephen King to weigh in on social media.
“Chicago White Sox fans, I feel your pain,” King posted on X. “As a fan of those other Sox, I tried to switch my loyalty to Cleveland during one particularly awful season (Butch Hobson, I’m talking about you). I couldn’t do it. Things will get better. They CAN’T get worse.”
Mark J. Terrill / AP
Despite the jokes on social media, White Sox team leadership has faced questions about what went wrong and how the team has been withstanding the historically difficult season.
General Manager Chris Getz summed up the feelings of the organization last month when he spoke to members of the news media after Grifol’s dismissal.
“There was lack of production overall,” Getz said. “I mean you look at how many games that we’ve led early and weren’t able to finish or how many games we haven’t been able to come back to get a win. Obviously, there was something that was broken. We know the flaws in this roster, but with that being said, we expected to win more games. We did.”
After last Sunday’s loss to the San Diego Padres, the team’s 120th of the season to tie the major league record, Sizemore, in true manager fashion, attempted to downplay the importance of the historic mark for the club.
“No loss is good,” Sizemore said. “Like I said, it’s not something we’re focused on. I think probably everyone outside of this clubhouse will be more obsessed with it than us.”
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