Home Equity Is Holding — and Homeowners Are Leveraging It with HELOCs
Published on December 30, 2025
•2 min read
Massachusetts homeowners: do you know the value of your home? While other markets across the U.S. face price drops and uncertainty, home values in the Commonwealth remain stable. And it’s not just one community, but many, like Belmont, Weston. Medway, Needham, and many more.
According to Zillow, as of September 2025, the average home value in Massachusetts is $658,406, up 1.7% over the past year, with homes going from “for sale” to “pending” in just 11 days.
This stability presents an opportunity.
With equity holding firm, many homeowners are turning to Home Equity Lines of Credit (HELOCs) to access funds for renovations, education, or debt consolidation without refinancing their low-rate mortgages.
Why HELOCs Make Sense Right Now
Massachusetts ranks among the top states for annual home equity gains. In early 2024, homeowners gained an average of $61,000 in equity, second only to California. This increase in equity means higher appraisals, better borrowing limits, and more favorable terms for qualified borrowers.
HELOCs are gaining traction nationally. Experian reports that total HELOC balances reached $387 billion toward the end of 2024, continuing a steady climb since 2021. Utilization rates have also increased, rising from 37.74% to 39.81% over the past three years.
What is a HELOC?
A HELOC is a revolving line of credit secured by your home. Unlike a lump-sum loan, it allows you to borrow as needed during a draw period—typically 5 to 10 years—often with interest-only payments. After that, you enter a repayment phase where both principal and interest are due.
HELOCs typically offer lower interest rates than personal loans or credit cards, making them a cost-effective way to fund large expenses. Some lenders even offer introductory APRs, though these rates may vary over time.
Smart Uses for HELOC Funds
If you're planning to sell your home in the next few years, a HELOC can help you invest in upgrades that boost resale value.
Kitchen remodels, bathroom renovations, and energy-efficient improvements are popular choices that can yield strong returns. In strong housing markets, like Sudbury or Cohasset, for example, your home could see positive added value when they take on these remodeling and updating projects now.
Massachusetts residents can also now use HELOCs to help build, make improvements, and undergo renovations to accessory dwelling units (ADU). These units could be a converted basement, detached garage, or a small cottage in the backyard! It’s a great option for homeowners looking to make some additional income or have a big family moving in.
Metro's Approach
At Metro Credit Union, we offer HELOCs with transparent terms and personalized support. Whether you're in Chelsea, Brockton, Holliston, Newton or beyond, our team is here to help you make informed decisions about your home’s equity.
We also support first-time buyers through programs like MassHousing and Massachusetts Housing Partnership’s ONE Mortgage, helping families build equity—and eventually tap into it through tools like HELOCs.
Ready to explore your options? Chat with a Mortgage Specialist inside our Digital Branch or email a Mortgage Specialist to learn more.
