Editor's choice: Axos Bank(NMLS #524995)
- Online preapproval
- Rate quote in minutes
- Available nationwide
Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
It can take anywhere from 14 to 28 days for a lender to process and approve your application for a home equity loan. But keep in mind that the exact amount of time it takes varies depending on the lender, your financial situation and how quickly you can get the paperwork together.
Home equity loans and HELOCs are both ways to obtain cash while borrowing against the value of your home. But while HELOCs open up a line of credit for ongoing use, home equity loans offer a lump sum of cash — and tend to be approved more quickly.
Several factors can affect the time it takes you to receive your funds, including:
A low credit score could slow down the underwriting process, which is when lenders determine whether or not you’re eligible for a loan. If your credit score is between 620 and 700 on the FICO scale, it could signal that a more in-depth review of your financial history is required. A credit score lower than 620 may outright exclude you from being approved.
Staying organized throughout the process will help speed things up. Documentation you might need to provide includes:
Exactly how long it’ll take to get your money after approval depends on the lender. However, when your home is on the line as collateral, federal law allows you to cancel the loan within three days after signing the credit contract. So, typical turnaround time for the cash to hit your account is about four days.
Getting a home equity loan can take anywhere from two to four weeks, depending on a number of factors. And since your home is on the line, the process shouldn’t be rushed. Take some time to shop the market first to find the best fit for your situation.
Learn about what will happen to your home loan when you die and how to avoid any nasty situations with some pre-planning.
Some lenders will approve a home loan even though you’re not receiving a permanent income. However, you’ll need to undergo some assessments.
A 101 guide covering the types of mortgage loans every homebuyer should know.
Invest in your retirement while enjoying tax breaks and peace of mind.
A business line of credit is a useful tool. But as a startup, you may not qualify for the best interest rates with most lenders. Explore your options — and alternatives — for flexible funding as a new business.
Reduce your debt by around 30% after fees — but only if you can stick with the program. Here’s how.
Here’s where to get financial help for yourself and your business if you’ve been affected by the storm in February 2021.
Prepare to revamp your asset allocation and explore new investment classes.
The White House announced new changes to PPP loans, helping the smallest businesses and opening access to people with student loan defaults or nonfraudulent felony convictions.
Balance your portfolio and maximize returns with these tips.
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.