CBS News
Why you should open a HELOC this fall
If you’re a homeowner looking for some extra financing right now, you have an easy way to get it – your home equity. Whether you pursue a cash-out refinance, a reverse mortgage, a home equity loan or home equity line of credit (HELOC), your home could serve as the cost-effective way to access money now. And considering that the average homeowner currently has hundreds of thousands of dollars worth of equity to access now, there’s likely plenty of money available, regardless of what you need it for.
Like all credit options, however, the timing needs to be right to be valuable. Fortunately, this fall is a great time to tap into your home equity, particularly if you pursue a HELOC. Below, we’ll break down four reasons why you should strongly consider opening one this fall.
Start by seeing how much money you can access with a HELOC now.
Why you should open a HELOC this fall
Not sure if a HELOC is the preferred option for your financial situation now? Here’s why it may be smart to pursue this fall:
Lower interest rates than the alternatives
The average HELOC interest rate is just 9.32% right now. That’s multiple points lower than the average personal loan rate (which hovers around 12% currently) and credit cards (which are above 23% now). Because your home serves as collateral in these circumstances, lenders tend to offer lower rates than they would with popular alternatives. So save on interest and open a HELOC instead.
Get started with a low interest rate HELOC here now.
The potential for rates to fall further
HELOC interest rates are variable and subject to change as the rate climate does. This is a major advantage right now as interest rate cuts loom for the fall and in the months after. If they do, the rate you pay on a HELOC will automatically adjust downward (they typically change monthly). While this could be a risk in a different market, it’s worth taking now in the face of multiple, potential interest rate cuts to come.
Additional savings not available with a home equity loan
Not only can you save more with a HELOC versus a home equity loan now thanks to the latter’s variable rate nature, but you can also save some upfront costs. That’s because home equity loans will need to be refinanced to secure a new, lower available rate. And that refinancing will be costly (often 1% to 5% of the full loan value). But you’ll keep those additional savings with a HELOC because the rate will simply drop on its own, without the need for formal refinancing.
Tax benefits in 2025
Interest paid on HELOC is tax-deductible if utilized for IRS-eligible home repairs and renovations. So this fall will be the final season in which you can use the HELOC for these reasons if you want to get the write-off when you file your tax return in 2025. Any HELOC used for these purposes after December 2024 will have to wait until 2026 to be eligible for interest tax deductions. If you know you need the funds, then, and want to secure the tax benefit in 2025, then consider opening a HELOC this fall.
Learn more about your HELOC options online today.
The bottom line
If you’re looking for extra financing but don’t want to pay a high interest rate to get it, consider a HELOC this fall. This unique option comes with significantly lower rates than popular alternatives and it has the inherent ability to fall further as the interest rate environment continues to cool. This feature will also allow users to enjoy additional savings because they won’t have to pay for the refinancing closing costs they otherwise would have been burdened with by using a home equity loan. And, finally, if homeowners act this fall – and use the HELOC for eligible home repairs – they may be able to get a tax deduction when they file their return in 2025. Just be careful when using your home equity as a funding source as you could potentially lose the home in question if you can’t repay all that you’ve borrowed.
CBS News
Norovirus outbreaks reported on 3 cruise ships this month, sickening hundreds
Hundreds of cruise passengers and workers fell ill with norovirus on three different ships this month, the Centers for Disease Control and Prevention said.
The CDC has logged outbreaks in 2024 on 14 cruise voyages, but three ships were hit in December. This is the only month this year when the CDC has reported three confirmed norovirus outbreaks on cruise ships and there’s still more than a week to go before the month ends. In all, 301 passengers and crew members fell ill during the December outbreaks, health officials said.
Those on Princess Cruises’ Ruby Princess, on a trip around Hawaii’s island, and Holland America’s Rotterdam and Zuiderdam voyages, both in the Caribbean, mostly dealt with diarrhea and vomiting.
Two Holland America cruise ships hit by norovirus
The most recent outbreak was on Holland America’s Rotterdam ship, which set sail on Dec. 8 and is set to end its Caribbean
trip Friday in Fort Lauderdale.
Officials said 83 of the 2,192 passengers on board and 12 of the 953 crew members were sickened.
“At Holland America Line, the safety and well-being of our guests and crew is our top priority. During the current voyage, a number of guests on Rotterdam reported symptoms of gastrointestinal illness,” a Holland America spokesperson said. “The cases have mostly been mild and quickly resolving.”
In response to the outbreak, there was additional cleaning and disinfection. Sick passengers and crew members were isolated. Stool specimens were collected for testing. The cruise line also consulted with the CDC’s Vessel Sanitation Program.
Once the Rotterdam ship arrives in Fort Lauderdale on Friday, it will undergo a comprehensive sanitization process before its next trip, according to the cruise line.
There was also a norovirus outbreak on Holland America’s Zuiderdam voyage earlier this month. Over the course of the Dec. 4-Dec. 11 voyage, 87 out of 1,923 passengers were reported ill, in addition to four of the 757 crew members, according to health officials.
A Holland America spokesperson declined to comment on the Zuiderdam outbreak because the voyage had already ended.
Norovirus, the “cruise ship virus”
Princess Cruises also dealt with a norovirus outbreak this month on its Ruby Princess ship during a cruise that started on Dec. 2 and ended on Wednesday. The ship started its journey in San Francisco and toured around Hawaii, according to CruiseMapper.
In all, 103 of 3,001 passengers and 12 of 1,142 crew members onboard reported being ill.
The Ruby Princess was also subject to increased cleaning and disinfection procedures, according to the CDC. Stool specimens were collected for testing and sick passengers and crew members were isolated. The cruise line consulted with the CDC’s Vessel Sanitation Program.
CBS News has reached out to Princess Cruises for comment.
There are about 2,500 reported norovirus outbreaks in the U.S. each year. Norovirus, which is sometimes called the “cruise ship virus,” causes more than 90% of diarrheal disease outbreaks on cruise ships, according to the CDC. However, norovirus outbreaks on cruise ships account for only a small percentage of all reported norovirus outbreaks.
“Norovirus can be especially challenging to control on cruise ships because of the close living quarters, shared dining areas, and rapid turnover of passengers,” according to the CDC. “When the ship docks, norovirus can be brought on board in contaminated food or water; or by passengers who were infected while ashore.”
This year, the CDC has logged outbreaks on 14 cruise voyages. Norovirus was listed as the causative agent for most of the outbreaks, though one was caused by salmonella and one was caused by E. coli. The causative agent of one outbreak remains unknown.
Norovirus outbreaks are usually more common during cooler months, typically happening from November to April in countries above the equator, according to the CDC.
CBS News
Analyzing whether the new spending bill will pass
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.
CBS News
What to know about the new deal to avoid a government shutdown and Trump’s influence on it
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.