Home Equity Loans & Lines
Home Equity Loans1
Put your home to work with a loan that gives you the freedom to make things happen. Use the equity in your home for refinancing, home improvements, debt consolidation, college tuition, a dream vacation, and more. First Bank’s Home Equity Loans offer the following benefits:
- No points and no application fee
- Fixed rate for the life of the loan
- Competitive interest rates
- Billing statements each month
- Loans available in a first lien or second lien position
- Local decision-making and processing
- Personalized, attentive service throughout the entire process
Home Equity Lines1,2
First Bank also offers convenient Home Equity Line options: a Prime Access Reserve Home Equity Line of Credit (PAR HELOC) and a Hybrid Access Reserve Home Equity Line of Credit (HAR HELOC). A Home Equity Line is a great way to pay for some of life's most important expenses. Just write a check drawn on the account for the amount you need now and pay interest only on that amount. If you need more later, write another check! It's that simple! Use the equity in your home to make improvements, take a dream vacation, consolidate your bills, pay college tuition, and more.
All Home Equity Line products offer:
- No application fees
- No annual or inactivity fees
- Competitive interest rates
- Easy access to the line of credit with checks
- Billing statements each month
- Payments based only on amounts borrowed
- No interest charged until you use your credit line
Prime Access Reserve Home Equity Line of Credit (PAR HELOC)1,2
- Draw Period (credit advances) is 15 years. Ten-year Repayment Period begins after the Draw Period ends.
- “Revolving” loan allows borrowers to draw down and pay back line as needed during the first 15 years. Loan stops revolving at the end of the Draw Period.
- Variable rate tied to the Prime Rate.
- Minimum monthly payment during the 15-year Draw Period is the amount of accrued finance charges plus 0.56% of the principal balance outstanding.
- During the ten-year Repayment Period the minimum monthly payment will equal the greater of $75.00 or the amount of accrued finance charges plus 0.833% of the loan account balance.
- Total term is 25 years.
Current Annual Percentage Rate (APR)2
| Lien Position | Annual Percentage Rate | During Draw & Repayment Periods |
|---|---|---|
| 1st | 8.00% APR | Prime plus 0.00% |
| 2nd | 8.25% APR | Prime plus 0.25% |
Hybrid Access Reserve Home Equity Line of Credit (HAR HELOC)1,2
- Draw Period (credit advances) is ten years. Ten-year Repayment Period begins after the Draw Period ends.
- “Revolving” loan allows borrowers to draw down and pay back line as needed during the first ten years. Loan stops revolving at the end of the Draw Period.
- Variable rate tied to the Prime Rate.
- Repayment during the ten-year Draw Period is interest-only based on the loan account balance.
- During the ten-year Repayment Period the minimum monthly payment will equal the greater of $75.00 or the amount of accrued finance charges plus 0.833% of the loan account balance.
- Total term is 20 years.
Current Annual Percentage Rate (APR)2
| Lien Position | Annual Percentage Rate | During Draw & Repayment Periods |
|---|---|---|
| 1st | 8.00% APR | Prime plus 0.00% |
| 2nd | 8.25% APR | Prime plus 0.25% |
1 All Home Equity products require the borrower to pay a mortgage recording fee and any other applicable recording fees or taxes depending on property location. Home Equity Loans and Home Equity Lines over $250,000 require Title Insurance and an Appraisal paid by the borrower. Other costs may also apply, such as a Tax Monitoring fee paid by the borrower (loans/lines over $250,000; 1st lien position only). The estimated range of fees generally total $100 to $6,416. Minimum credit line of $15,000 to a maximum credit line of $1,000,000. Home Equity Lines have an early termination fee of $300 (due if the line is terminated or pays off for reasons other than casualty loss, death of borrower, or refinance with First Bank within 18 months of account opening). Home Equity Loans are limited to 80% of the combined loan to value and Home Equity Lines are limited to 75% of the combined loan to value based on the estimated or appraised value. Applies to owner occupied (primary residence and secondary residence/vacation home) 1-2 family homes, townhouses, and condominiums in First Bank’s lending area. Homeowners insurance from the insurer of your choice is required. Federal flood insurance is required for any property located in a designated flood zone. Interest may be tax deductible; consult your tax advisor for details.
2 The Annual Percentage Rates (APR) shown above are effective as of March 23, 2023 and are subject to change at any time. The APR includes only interest and no other costs. The APR is based on the value of an index plus an applicable margin. The index is the Prime Rate (Prime) as published in the Wall Street Journal, which is currently 8.00%. During the Draw Period and Repayment Period the APR on the Home Equity Lines is variable at Prime plus 0.00% for 1st lien position and Prime plus 0.25% for 2nd lien position; the APR may change daily. During the Home Equity Lines, the minimum APR that can apply is 3.00% with a maximum APR of 18.00%. The minimum monthly payments may not be sufficient to fully repay the principal that is outstanding on the Home Equity Lines by the end of the Repayment Period. If they are not, then the entire balance must be paid in a single payment.
All loans subject to underwriting eligibility; other conditions may apply.
As an added convenience, you can have your First Bank Loan payment deducted directly from your First Bank checking or savings account.
Consumer Lending Manager
609-643-0474
Consumer Lending Officer
