Google Trends Shows Increased Interest in Home Equity Lines of Credit (HELOCs)
Interest in Home Equity Lines of Credit (HELOCs) appears to be on the increase based on the Google Trends Interest Over Time search index. The index for searches in the United States show the highest level in the last 5 years. The seasonal peak of the searches which typically appears in mid-summer, showed up earlier in Q1 2018. This shift may partially be due to changes in tax regulations around the interest deduction on the product.
The states with the highest levels of the index were Hawaii, Colorado, Washington, California and Utah. Hawaii's Chief State Economist Dr. Eugene Tian noted in February 2018, that the outstanding balance for home equity loans increased 7% in Hawaii but decreased 2.3% at the national level between the first and fourth quarter of 2017.
The increased focus is reflected at BankRate's home equity page. Here there are multiple offers of HELOCs from various originators with teaser rates as low as 2.74% and floating rates that vary from Prime minus 0.76% to Prime plus 1.34%.
Disclaimer - This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product.