
Zone Title
Zone Subtitle
Home Improvements Using a Home Equity Loan
At Pen Air, we’re here to help you with the things you value most. Helping you finance important purchases, from kitchen renovations to college tuition or debt consolidation. We’ll work with you to find the right solution that works best for you – a process that’s easy. Since most loans close two weeks faster than other lenders, you can save time while taking care of what’s most valuable to you.
You can use the value of your home to affordably borrow money for whatever it is you need through a Home Equity Loan or a Home Equity Line of Credit. These two types of loans often have a lower interest rate since they are secured loans.
Compare a Home Equity Loan to a Home Equity Line of Credit for yourself:
HELOC | Home Equity Loan | |
Term | 10 year draw with 20 year amortization & repayment | 5, 10, 15 or 20 years based on amount borowed |
Rate | Variable* | Fixed Rate** |
Closing Cost | Paid by Pen Air1 | Paid by Member2 |
Funding | Online transfer, by check or in person at any Pen Air location | One lump sum payment |
Loan to Value | Up to 100% – credit score and other factors apply | Up to 85% of home’s value |
Annual Fees | No Annual Fees | No Annual Fees |
*Pen Air will never increase the rate more than 2% in a 12 month period, no matter how high prime rises. This excludes increases after a promotional rate period has ended.
**Rates vary weekly. Ask a Member Advisor for the current rate.
1 If you close your line of credit within 36 months, you will be responsible for paying back the closing costs.
2 Closing Costs can be paid outside of closing or can be deducted from proceeds.
Two easy ways to apply:
- Online: An online loan application takes approximately 5 – 10 minutes. However, you can save your application data and login at a later time to finish, check your loan status or submit additional loan documents.
- In-Person at any Pen Air Location
Contact our team of Home Equity Experts by calling 850.505.3200 ext. 8380 or by email today.
Home Equity FAQs
Why do I need a Home Equity Loan?

We all have unexpected expenses, cash shortage, home repairs or large purchases to make and need affordable options. Instead of draining your investments that may increase in value over time, you can use the equity in your home to open a Home Equity Line of Credit (HELOC) or Home Equity Loan. Our competitive rates and quick application and closing process make the decision to unlock your home’s value simple.
How do I choose between the different home equity products?

Each type of loan has its benefits depending on what you’re looking for. For example, the Home Equity Line of Credit (HELOC) gives you the flexibility to use the funds on an “as-needed” basis. On the other hand, the Home Equity Loan gives you a one-time draw wiht a fixed rate that is especially useful for a large initial purchase. Our Home Equity experts are ready to help you find the solution to fit your need.
How much equity do I need in my home to take out a Home Equity Loan or HELOC?

The amount of equity you currently have in your home will determine the Home Equity Line of Credit (HELOC) limit or Home Equity Loan value. Consult with a Home Equity expert to determine your estimated credit limit or loan value amount.
What documents do I need to submit with my loan application?

Verification of Income
- W2 income: your most recent W2 and 30 days’ paystubs or income statement.
- Retiree’s or Social Security income: your most recent 1099 or benefits awards letter.
- Self employed, rental income or commission income: your two most recent years’ tax returns, including all schedules.
First Mortgage Statement
- To verify loan balance and escrow status
Home Owner’s Insurance Certificate
- Declarations Page
Copy of Payoff Statements (if applicable)
- For accounts that we will paying off
Disclosures
©2019 Pen Air Federal Credit Union. NMLS # 413053. Rates, terms and conditions are subject to change and may vary based on creditworthiness, qualifications and collateral conditions. All loans subject to approval.
- Quicklinks
- NMLS Registry
- Home Equity Document Checklist