Rising home values: Learn how to tap into the equity you’ve built
Updated Aug. 7, 2025, at 2:54 p.m. CT
Home values skyrocketed in recent years. And while home values aren’t rising like they once were, you may still have a burst of equity to work with.
(Quick refresher: Equity is the part of your home that belongs to you, not your lender. It’s often the difference between what your home is worth and what you owe on your mortgage.)
While the pace of home equity growth has slowed, many homeowners still have more equity than they once did.
A 2025 report from Cotality found that U.S. homeowners with mortgages saw their equity increase slightly—by about 0.7%—in the first quarter of 2025. That may not sound like much, especially compared to the pandemic boom years. But the overall picture still shows homeowners holding a record $17.3 trillion in equity.
In other words, even if your home hasn’t soared in value recently, you may still be sitting on a valuable resource. And in some cases, homeowners are starting to put that equity to use—for renovations, debt consolidation and other goals.
One way to access it? A home equity line of credit. It’s a flexible option that allows you to borrow against the equity you’ve built. Learn how it works—and what to consider before tapping into your home’s value.
What’s a HELOC?
Many homeowners take advantage of their increased home equity through a home equity line of credit, or HELOC.
A HELOC is a revolving credit line that allows you to borrow money against your equity as needed while you still live there. You can use the funds for whatever you’d like: Consolidate bills, fund home improvement projects or pay for other expenses.
Think of the home equity line of credit as a safety net. If you don’t have a specific need—or are unsure if you might have other needs down the road—the funds are there in case life throws the unexpected your way.
A HELOC is considered a second mortgage on your house. You’re using your home as collateral. That means if you default on your repayment, you risk losing your home. So, it’s even more important to make your payments on time, every time.
Because you’re using your home as collateral, this loan typically offers much lower interest rates than personal loans or credit cards.
How much money can you borrow?
Like every loan, HELOCs have eligibility requirements.
The amount of money you can take out through a HELOC will depend on your home’s total value, how much you currently owe on your home loan and other factors.
At Dupaco, eligible homeowners can borrow up to 100% of their home’s appraised value.
Once approved, you can advance the funds when you need them through Shine Online or Mobile Banking, by calling Dupaco at 800-373-7600 or by visiting a Dupaco branch.
Calculate how much you could borrow with a HELOC >
How do I repay my HELOC?
Repayment works like a credit card—borrow what you need, pay it off and borrow again.
At Dupaco, you have 10 years to advance money from your line of credit. Each time you take an advance, your monthly payment recalculates over 15 years.
In theory, you could leave the line of credit untouched for nine years, then take a full advance and have 15 more years to repay those funds. Your monthly payment can change, triggered each time you make an advance.
You’ll pay a variable interest rate based on the Prime Lending Rate. But you’re only charged interest on the funds you use. And interest rate fluctuations only impact your monthly payment when you make a new advance.
If you plan to sell your home, you’ll need to have your line of credit paid in full and closed for future advances.
Another step to consider when home values rise
If your home value has shot up recently, it’s also worth reviewing your insurance coverage if you haven’t done so in awhile. Your homeowner’s insurance policy was likely purchased when your home was worth less than it is now. So, your coverage might no longer be enough to cover the current replacement costs of your home.
