As of September 16, 2026, the average interest rate for a home equity loan is 8.14%, according to Money.com. A home equity loan allows homeowners to borrow against the equity they have built in their homes—essentially, the difference between the home's current market value and the outstanding mortgage balance. Qualified borrowers with strong credit scores may be able to secure lower interest rates than the average. Using this rate, a $90,000 loan would have monthly payments of $1,098.62 over 10 years or $867.38 over 15 years. For context, in December 2025, after the Federal Reserve lowered interest rates, the monthly payments for the same $90,000 loan were slightly lower: $1,100.53 for a 10-year term and $866.85 for a 15-year term. Earlier that year, in October 2025, when rates were higher, the payments were $1,108.18 for a 10-year loan and $871.03 for a 15-year loan. In October 2024, rates were even higher, leading to monthly payments of $1,114.43 for a 10-year loan and $879.95 for a 15-year loan. Currently, monthly payments for a $90,000 home equity loan range between $867 and $1,098, which is more affordable compared to previous years. This trend reflects the impact of interest rate fluctuations over the past two years. Experts recommend that homeowners shop around for the best rates and terms to potentially save money before interest rates rise again. However, it's important to approach these loans strategically, as failure to make timely repayments can lead to serious consequences, including foreclosure. Home equity loans typically provide funds in a lump sum, which must be repaid immediately with fixed monthly payments. In 2025, home equity levels reached a record high, making these loans more accessible for many borrowers. Despite this increased availability, it's crucial for borrowers to ensure they can afford the monthly repayments to avoid the risk of losing their homes. As with any loan, careful financial planning and understanding the terms are essential.