A home equity loan lets a California homeowner borrow against the equity they’ve built in their property. Because California home values tend to be higher than the national average, many homeowners have substantial equity available to tap into.
A home equity loan is a fixed‑rate, lump‑sum loan secured by your property. It’s different from a HELOC, which is a revolving line of credit.
Key Features of Home Equity Loans in California
1. Fixed‑Rate, Lump‑Sum Borrowing
You receive a single disbursement and repay it over a set term with a fixed interest rate. California lenders highlight that these loans can be used for: • Home improvements • Debt consolidation
• Education expenses • Major purchases
2. Typical Loan Amounts Many California lenders offer: • $100,000 to $500,000
3. Equity Requirements Most lenders require: • 10–20% equity remaining after the loan • Combined loan‑to‑value (CLTV) caps around 90%
4. Credit & Income Requirements • Good credit (often 660+) • DTI typically below 43% • Stable income and employment verification
What Work with Selective Lending?
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Selective By Name, Exceptional By Choice-Personalized Lending That Puts You First
22+ Years of Lending Experience
Dedicated Trained Team
Fast Response Times
Flexible Structuring for First Time Borrowers or Investors
Direct Communication From Application to Closing
Various circumstances may affect loan qualification. All loan terms and information are subject to change without notice.