Best HELOC Rates and Lenders in Colorado (2024)
Updated: April 23, 2024
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The best home equity line of credit (HELOC) lender in Colorado is Lower. It is only available online, as it does not have physical branches in the state. It serves a broad spectrum of needs, with an APR range of 8.75% to 13.5% and loan amounts from $15,000 to $500,000. Its minimum credit score requirement is 580, making it accessible to a wider audience.
MoneyGeek examined different lenders based on multiple factors, not just cost, and included 13 HELOC lenders available to Colorado homeowners. While there are more HELOC providers, we did not include them in the study. Homeowners might consider local lenders like Colorado Credit Union, Credit Union of Colorado and Northern Colorado Credit Union, which could offer distinct advantages for Coloradans' specific financial situations.
- Lower
- 8.75% to 13.5%APR Range
- $15,000 to $500,000Loan Amount Range
- 580Minimum Credit Score
- 10-year draw period; undisclosed repayment period Repayment Terms
- NoneAnnual Fees
Lower is the overall top HELOC lender in Colorado. It offers rates from 8.75% to 13.5% and allows borrowing between $15,000 and $500,000. Homeowners with a credit score of at least 580 can apply. It makes loan features easily accessible on its site, which benefits users by promoting transparency. Lower also boasts an A+ rating from BBB, ensuring trust and reliability. Home equity enthusiasts in Colorado who seek a balance between accessible loan terms and reliable customer support might find Lower’s offerings quite fitting.
Pros
- No annual fee
- Accepts credit scores from 580
- Personalized post-loan support
Cons
- No rate discounts offered
- No fixed-rate HELOC conversion
- Unclear repayment period length
Overall Best HELOC Lender in Colorado
HELOC Rates in Colorado by Credit Score
Your home equity line of credit (HELOC) APR isn't set in stone. Even with an excellent credit score and a favorable LTV ratio under 80%, rates vary due to your chosen repayment terms. Review the table below to gauge how different values affect your rates.
Comparing APRs when you search for a HELOC in Colorado can save you money over time. Lower rates mean cheaper borrowing, making repayments more manageable. Take the time to compare, as slight APR differences can lead to significant savings. Picking the right lender shapes your borrowing experience, ensuring you stay on top of your finances.
HELOC Calculator: Do You Qualify in Colorado?
In Colorado, the key to unlocking a higher borrowing amount on a HELOC is how much home equity you have. As reported by TransUnion, if you have more equity in your home, you can typically borrow more. Experian highlights the average credit score in Colorado is 731. You might be well-positioned for a HELOC if your score is around this mark.
Your eligibility for a HELOC isn't just about home equity and credit score; other factors also come into play. Get familiar with the HELOC calculator to play around with different variables and gauge your eligibility. This handy tool can simplify your search for the right HELOC lender.
- Aven
- 7.99% to 15.49%APR Range
- Up to $250,000Loan Amount Range
- 620Minimum Credit Score
- Unlimited draw period; 5 to 10-year repayment period for cash out;Repayment Terms
- NoneAnnual Fees
Aven is the top HELOC lender in Colorado for homeowners who prioritize savings. It offers a unique product that works like a credit card backed by your home's equity, but it is reported as a HELOC credit bureaus; this ensures transparent financial activity. With APRs ranging from 7.99% to 15.49% and no annual fees, this lender also encourages further savings with a 0.25% discount on rates when you set up autopay. These features make Aven a preferred choice for Colorado homeowners looking for a cost-effective HELOC.
Pros
- Provides credit card backed by home equity
- Earns 2% unlimited cash back
- No origination or annual fees or prepayment penalty
Cons
- Line limit is only up to $250,000
- 2.5% fee for bank cash outs
- 10-day wait for card
Best HELOC Lender in Colorado for Affordability
- U.S. Bank
- 8.95% to 13.1%APR Range
- $15,000 to $750,000Loan Amount Range
- 660Minimum Credit Score
- 10-year draw period; up to 20-year repayment periodRepayment Terms
- Up to $75Annual Fees
U.S. Bank is the best lender for Colorado homeowners with bad credit looking for a HELOC. Even with a credit score as low as 660, you can secure a line of credit. U.S. Bank keeps the maximum APR at a reasonable 13.1%. It offers a 0.5% autopay discount, making monthly payments more manageable. This flexibility and the opportunity to receive funds in three business days could greatly benefit those needing quicker access to funds. U.S. Bank is accredited by the BBB, though it currently does not have a rating.
Pros
- No closing costs
- Offers fixed-rate option
- Minimum $15K line amount
Cons
- Closing must be done in person
- Early closure fee of up to $500
- $75 annual fee
Best HELOC Lender in Colorado for Bad Credit
- Bank of America
- Starting at 9.82%APR Range
- $25,000 to $1,000,000Loan Amount Range
- UndisclosedMinimum Credit Score
- 10-year draw period; 20-year repayment periodRepayment Terms
- NoneAnnual Fees
Bank of America is the best HELOC lender in Colorado for large loan amounts. Due to its flexibility, homeowners looking to fund high-cost projects like home renovations or college education can use a HELOC. Borrowers can manage substantial expenses with Bank of America's maximum loan amount of $1 million. It also provides a 10-year draw period followed by a 20-year repayment period, giving borrowers time to handle their finances without the pressure of a quick repayment. Additionally, homeowners can save more as the lender has no annual fees, application fees or closing costs throughout the loan's lifetime. Bank of America helps customers during unexpected financial challenges, making it a supportive choice for Colorado residents.
Pros
- Offers competitive introductory rate
- No closing costs
- Maximum loan amount of $1 million
Cons
- Minimum loan amount of $25,000 for online applications
- Must close in person at a branch
- $450 early closure fee
Best HELOC Lender in Colorado for Large Loans
- U.S. Bank
- 8.95% to 13.1%APR Range
- $15,000 to $750,000Loan Amount Range
- 660Minimum Credit Score
- 10-year draw period; up to 20-year repayment periodRepayment Terms
- Up to $75Annual Fees
U.S. Bank is the top HELOC lender for debt consolidation in Colorado. Homeowners often choose a HELOC to merge debts like credit card balances or medical bills into one payment. U.S. Bank offers APRs from 8.95% to 13.1%, and funds are available within three business days. It provides loans up to $750,000, making it feasible to consolidate various debts. U.S. Bank is accredited by the BBB, providing trust in its services, though it currently doesn't have a rating.
Pros
- No closing costs
- Can prequalify online
- Interest-only payment option
Cons
- Closing must be done in person
- Charges $75 annual fee
- No financial hardship assistance
Best HELOC Lender in Colorado for Debt Consolidation
How to Choose a HELOC Lender in Colorado
MoneyGeek has highlighted the top HELOC lenders in Colorado. If you decide to scout beyond these picks, the right approach can streamline your search. Here's a practical guide for Colorado homeowners to navigate the HELOC lender landscape effectively.
FAQ: HELOC Lender and Rates in Colorado
With the right information, navigating the maze of HELOC lenders in Colorado can be less daunting. Our compiled frequently asked questions offer insights to help you navigate terms, rates and lender reputation, equipping you with the tools to secure a loan that aligns with your financial strategy.
A competitive HELOC rate in Colorado is around 7%, assuming an 80% LTV ratio and a credit score of 680 to 740. Homeowners should know that rates may differ due to factors like creditworthiness and the specific lender chosen.
Lower is considered the best overall HELOC lender in Colorado. It provides accessibility and flexibility to homeowners due to its APR range of 8.75% to 13.5%, loan amounts of $15,000 to $500,000 and a minimum credit score requirement of 580.
Yes, you can qualify for a HELOC in Colorado with bad credit. For instance, U.S. Bank provides HELOCs for those with a minimum credit score of 660. However, rates could be higher, ranging from 8.95% to 13.1%.
Bank of America stands out in Colorado for those needing large loan amounts for significant expenses like major home renovations. It offers loans up to $1,000,000, favorable repayment terms and no annual fees.
Homeowners looking to use a HELOC for debt consolidation should consider U.S. Bank. It offers rates from 8.95% to 13.1%, with amounts up to $750,000 and funding within three business days.
To find the right HELOC lender in Colorado, assess your intended use for the HELOC and understand your financial position. Different priorities or uses, such as renovation, debt consolidation, or covering educational expenses, will influence which lender is the best match for you.
sources
- Better Business Bureau. "Get Consumer Help." Accessed April 21, 2024.
- Colorado Department of Regulatory Agencies. "What We Regulate." Accessed April 21, 2024.
- Experian. "What Is the Average Credit Score in the US?." Accessed April 21, 2024.
- TransUnion. "Home Equity Trends Report Q3 2023." Accessed April 21, 2024.