Home Equity Lines of Credit

Put your home's equity to work.

Borrow as needed

Pay interest on what you use

No hidden fees

Financial flexibility for life's goals.

A home equity line of credit, or HELOC, gives you ongoing access to funds using the available equity in your home. Use it for renovations, repairs, debt consolidation or other significant expenses—and pay interest only on the amount you borrow.

Michigan First HELOCs feature a 10-year draw period followed by a repayment period of up to 10 years, giving you flexibility to borrow as your needs change.

Flexible financing for life’s bigger expenses

Unlike a traditional loan that provides all your funds at once, a HELOC allows you to borrow, repay and borrow again during the draw period, up to your available credit limit.

A Michigan First HELOC includes:

A 10-year draw period
A repayment period of up to 10 years
A competitive variable interest rate
Low closing costs
Credit limits based on your available home equity
Financing up to 100% combined loan-to-value for qualified borrowers
Interest charged only on the amount you use
Access through checks, Digital Banking and Michigan First branches
Guidance from experienced Home Equity Loan Underwriters

Your available credit limit, interest rate and terms will depend on your home’s value, existing mortgage balance and credit qualifications.

How does a HELOC work?

A HELOC works similarly to a revolving line of credit, but it is secured by your home.

During the draw period

Michigan First provides a draw period of up to 10 years. During this time, you can access funds as needed, up to your available credit limit.

As you repay the principal you have borrowed, those funds may become available to use again during the draw period.

Because a HELOC has a variable rate, your interest rate and required payment may change over time.

During the repayment period

Once the draw period ends, you can no longer borrow from the line. You will repay the remaining principal and interest over a period of up to 10 years.

Your payment will generally increase when the HELOC enters repayment because you are paying back both principal and interest. Understanding how the payment could change can help you prepare before the draw period ends.

What can you use a HELOC for?

You can use funds from a HELOC for many purposes, including:

Home renovations or remodeling
Major home repairs
Emergency expenses
Debt consolidation
Education costs
Medical expenses
Large purchases
Other planned or unexpected expenses

Because your home secures the line of credit, a HELOC is best used for expenses that support your broader financial plans. Avoid borrowing more than you can comfortably repay.

Make more possible with your home's equity

Whether you are improving your home, consolidating higher-interest debt or preparing for a significant expense, a Michigan First HELOC gives you flexible access to funds when you need them.

Explore current rates, estimate your available equity or begin your application today.

Frequently asked questions

View All FAQs

Do I have to be a Michigan First member to apply for a loan?

Yes. You must become a Michigan First member before applying for a consumer loan. Membership is open to anyone who lives, works, or worships in Michigan and begins by opening a Michigan First Savings Account with a minimum $10 deposit.

What credit score do I need to qualify for a Michigan First loan?

Michigan First does not use one minimum credit score for every loan. Approval and available rates depend on factors such as the type of loan, your credit history, income, existing debts, and ability to repay. Applying is the best way to learn which options and rates may be available to you.

What is the difference between a home equity loan and a home equity line of credit?

A home equity loan generally provides a one-time lump sum that is repaid through regular payments, usually at a fixed interest rate. A home equity line of credit, or HELOC, allows you to borrow from an approved credit limit as needed and pay interest only on the amount you use. HELOCs commonly have variable interest rates.