What if you had an investment that had grown in value, but you didn’t know how much it was worth, and you couldn’t withdraw any money from it? You’d probably look for a different investment.
Now think of your home. If you’ve owned it for a while, it’s probably worth more than when you bought it, so that additional value is money you could access. That’s how a home equity mortgage loan works. You find out what your home is worth, and then borrow a portion of the value that exceeds your mortgage balance. The funds can be used for home improvements, debt consolidations, weddings, college tuition, medical bills, and many other expenses.
Home Equity Mortgage Loans
What is home equity?
Home equity is the difference between the appraised value of your home and the remaining balance of your home loan. As a homeowner, you build home equity by making a down payment and making principal payments against your mortgage.
If the value of your home increases on the fair market, you stand to benefit from the potential increase in home equity when you sell your property. This is another way to increase home equity.
Home equity can be used as collateral for home equity mortgage loans or home equity lines of credit (HELOC). So, if you have home equity, you may be able to use it as a lower interest solution than typical credit cards provide.

What is the process of a home equity mortgage loan?
Tapping into your home’s equity shouldn’t feel complicated—and with us, it isn’t.
Here’s how the process works, step by step:
Connect with a Locke Your Loan loan officer to talk through your goals
Apply online or directly with our team—whichever works best for you
We’ll review your application and schedule an appraisal to confirm your home’s value
If anything else is needed, we’ll let you know and help you gather it quickly
Once approved, you’ll close and access your funds—simple as that
We keep it clear, easy, and personal—every step of the way. Let’s get you what you need.
Eligibility requirements for a home equity loan
Not every home equity loan looks the same—and that’s a good thing. We help match you with the program that fits your situation best.
Here are a few things lenders typically consider when reviewing your application:
How much equity you’ve built in your home
Your credit score and credit history
Your debt-to-income (DTI) ratio
Your current income and financial stability
We’ll walk through each of these with you, explain what it means, and help you feel confident about where you stand. No guesswork, just clear answers.