Home Equity Loans

UMB offers competitive interest rates for home equity lines of credit (HELOCs) and home equity loans

By taking advantage of your home’s equity, you can cover the costs of home improvements, purchase or refinance a vehicle, pay for large expenses or consolidate your debt. Speak with a UMB personal banker to see if a HELOC or a home equity loan is right for you.


Not sure which home equity loan is right for you? Take a look at this comparison chart to help you decide which home equity financing option suits you best.



What is it?

Financing type


How you access funds


Perfect for:


Reusable line of credit where your home serves as collateral

Revolving line of credit

May have adjustable or fixed rates

Spend what you need -- You may access money up to a determined limit, pay it back and borrow again as needed

Monthly payment amounts can vary depending on how much of your HELOC you use and the interest rate

Ongoing expenses like building your dream kitchen or making home repairs


A lump-sum loan where your home serves as collateral

Traditional loan

Fixed rate

At loan closing, you receive a one-time lump sum to use as you need it

Consistent monthly payment amounts

Making large, one-time purchases, remodeling your home


No annual fees
A 10-year draw period to access funds, followed by a 20-year repayment period
Origination fee waiver when you open a qualifying UMB checking account²
Flexibility to access funds online, in a branch or with checks³

Exceptional service

Whether you know exactly what you need or prefer some help to understand your options, your UMB personal banker will be with you every step of the way.


Competitive rates

We offer HELOCs and home equity loans with competitive rates, convenient features and flexible account options to help you find the financing you need.


Online account management

Quickly and easily manage your UMB HELOC or home equity loan with online banking and the UMB Mobile Banking app.


Do you already have an UMB HELOC?

Lock in an interest rate for all or a portion of your balance with our fixed rate option.⁴

Find out more

Questions about a home equity loans or line of credit? UMB has answers.

    Home equity is the difference between your home’s fair-market value and the amount you owe the bank for your mortgage. A simplified example: if your home is valued at $200,000 and you owe $150,000, your home equity is $50,000.

    Put your home value to work

    As the homeowner, you can access your home equity. Many homeowners choose to use a portion of their equity to fund home improvements, make large purchases or consolidate debt. You can access the equity you’ve built in your home through a home equity loan or home equity line of credit (HELOC).

    Read more about home equity

    Learn about the various solutions available to help you use your home equity. Read the UMB blog post “How to choose the best home loan for you.”

    Speak to a UMB personal banker

    UMB offers competitive home equity loan rates and personalized customer service. To speak to someone about our home equity loan solutions, schedule an appointment with a personal banker at a UMB branch.

    A home equity loan is a lump-sum loan, where you borrow against the equity in your home and your home serves as collateral for the loan.

    Borrowing from your home’s value

    A home equity loan gives you access to the equity you’ve built as the home appreciates in value and you pay on your mortgage over time. Home equity is the difference between your home’s fair-market value and the amount you owe for your mortgage.

    Put your home equity to work for you. Apply online today for a home equity loan from UMB.

    A home equity loan begins with an application to a lender. Loan approval, amount and interest rate are at the discretion of the lender.

    You’ll repay your home equity loan (principal and interest) in monthly installments. The lender determines the rate and term, or length, of the loan.

    Home equity loan application process

    Here are some things you’ll likely need to apply for a home equity loan:

    1. Personal information for yourself and any other owners of the home (co-borrowers on the loan)
    2. Income documentation (W2s, paystubs, etc.)
    3. Details about your mortgage, including current loan balance
    4. Demonstrated history of paying your mortgage and other credit obligations on time and as agreed
    5. Acceptable debt-to-income ratio
    6. Estimated appraised value of your home (typically arranged by your financial institution during application process)

    Your home is the collateral

    One key to how home equity loans work: failure to repay your loan could put you at risk of foreclosure. As with any personal-lending tool, making on-time payments to ensure the home equity loan continues to work for you.

    Feel confident in your lending choices

    Read the UMB blog post “Personal Lending 101: what loan is right for you?”

    A home equity line of credit (HELOC) is a revolving source of funds with a variable interest rate, secured by the equity in your home. A HELOC is different from a home equity loan, which is a one-time source of home equity funds borrowed at a fixed rate.

    With a HELOC, you withdraw from the available funds as you need them and repay them at the rate the lender determines. A HELOC works a bit like a credit card, but in this case, you’re borrowing from your home’s value. You only pay interest on the portion of the home equity line of credit you use.

    Because a HELOC is borrowed at a variable interest rate, the amount you repay over time is subject to change.

    UMB offers competitive line of credit rates and personalized customer service to support your financial goals. Apply online today for a home equity line of credit from UMB.

    How to use your home equity

    Many borrowers use HELOCs to fund value-adding home improvements or to finance large purchases. To see how much you may be able to borrow, you can use this helpful HELOC calculator from UMB.

    Here’s the simplest way to see how much equity you may have in your home:

    1. Find your home’s fair-market appraised value.
    2. Subtract the amount you owe on your mortgage, plus any other loans secured by your home.
    3. The positive balance is your home equity.

    If the amount you owe is greater than your home’s value, you don’t have equity in your home.

    Increase equity with extra mortgage payments

    Simply making on-time monthly mortgage payments increases your home equity. If you have an unexpected influx of cash, like a bonus or inheritance, you could apply that toward your loan principal which increases the equity you have in your home. Most lenders allow you to make additional/early payments to pay down your loan and increase your equity.

    Increase equity with home improvements

    Investing in home improvements can increase your home’s value, which in turn, can increase your home equity. Depending on the real estate market, investing in an upgrade, like a kitchen improvement, may add to your home’s value beyond the improvement’s cost. Read more about how to use a home equity line of credit to increase home value.

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    Get financing savvy with our financial calculators

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    1. Offer rates and terms are subject to change without notice. Credit and collateral approval required. Offer available for new UMB home equity line of credit ("HELOC") customers. This offer does not apply to existing UMB HELOC customers. To qualify for this promotional rate, the property secured by the HELOC must be your primary residence. Additional restrictions and limitations apply. The introductory annual percentage rate ("APR") will be in effect for the first 12 months of your loan term, even if you do not draw on the line of credit during that period.

      After your 1-year promotional period ends, your APR will be determined as follows:

      After the promotion period ends, your APR may vary for the remaining life of the loan and can change monthly, but will not be lower than 3.49% or exceed 18.00% during the life of your loan. The variable APR that applies to your loan after promotional period is based on the Wall Street Journal Prime rate ("Prime Rate") plus a margin, which will vary based on your checking account relationship with UMB, loan to value ratio, line amount, and whether the property securing your loan is your primary residence. As of July 27, 2023, the Prime Rate was 8.50%, and the variable rate for UMB HELOCs ranged from 8.99% - 11.75% APR. To qualify for the lowest APR available, you must have a UMB Select Checking account, the combined value of all liens of the property should not exceed 80% of the property's appraised value, and the line amount must be greater than $100,000.

      Payment Information:

      Payments are due monthly. Your minimum payment during the draw period will equal the amount of your accrued interest and finance charges, plus any amount past due and all other charges. At the end of the draw period, your HELOC will enter the 20-year repayment period and your minimum monthly payment will include principal and interest plus any amount past due and all other charges, or $100, whichever is greater. An increase in the APR may increase the amount of your minimum payment.

      Additional information:

      Other introductory rates may be available. Not all loan programs are available in all states, or for all loan amounts; additionally, some methods for accessing funds may not be available in every state.

      Hazard insurance is required for the property that secures the HELOC. Flood insurance is required for properties in special flood hazard areas. Required payments do not include amounts for taxes and insurance premiums. You will be responsible for annual taxes and insurance.

    2. Qualifying checking accounts include UMB Select and UMB Value Checking. The origination fee is waived for customers who open a UMB Select or UMB Value Checking account; the fee for customers who open a UMB Free Checking account or have no UMB checking account is the lesser of 1% of the line amount or $250. Current UMB customers may qualify for an origination fee waiver based on account type. See a UMB personal banker for more information.
    3. Exceptions for HELOCs secured by collateral in the state of Texas, due to state law. Visit a UMB branch or call your UMB personal banker for more information.
    4. Restrictions and documentation requirements may apply. All loans subject to credit and collateral approval. Geographic restrictions apply.