The following content is created in partnership with Citizens. It does not reflect the work or opinions of NBC Boston’s editorial staff. Click here to learn about Citizens.
Being a homeowner goes beyond owning a set of keys. It means you, quite literally, have a place in the world. You might feel a sense of pride when looking back at your achievements—landing that promotion, finishing that degree, or getting that car you were dreaming about—but few milestones compare to the feeling of having your own place.
Not only does your home provide you a sense of accomplishment for what you’ve already achieved, but it's also an investment in you and your family’s future. It can help you achieve whatever you have planned next, whether it’s finishing the basement to get the extra space you’ve been dreaming of, installing a new roof, or maybe pursuing another degree. When thinking about financing these new goals, you may be overlooking your best financial tool: your home.
Get Boston local news, weather forecasts, lifestyle and entertainment stories to your inbox. Sign up for NBC Boston’s newsletters.
Putting your house to work
With recent home appreciations across the country, did you know you can actually leverage your home’s equity to help you pay for things that matter to you? You can invest in you or your family’s future, make improvements around your house, or even finance a trip you’ve been dreaming of. Instead of tapping into your savings, looking for other loan options, or using a credit card with a high interest rate, your home may hold the key to your next goal.
If you’ve already made a dent in your mortgage, have exciting plans for your home or family, and are looking for a flexible way to cover them, a Home Equity Line of Credit, or HELOC, might be a savvy alternative over more traditional financing options.
But what is a HELOC?
A HELOC is a line of credit secured by your home that gives you a revolving credit line to use for you and your family’s needs. The more equity you have, or the more of your mortgage you’ve paid off, the higher the amount of cash you’ll have access to with a lower interest rate.
HELOCs work like an additional line of credit (like a credit card) that uses your home’s value to determine how much money you can access. Unlike a credit card though, a HELOC typically has a significantly lower interest rate on any money you choose to borrow. Instead of using a high-interest credit card, or tapping into your savings, this low-interest rate financial tool can fund you and your families’ goals. Whereas in typical loans, you receive the full amount of the loan at once, once a line of credit is approved, you get to choose how much you want to borrow and can do so multiple times.
A major benefit of a HELOC is the flexibility it offers. Though its name might make you think you can only use it to finance home improvements, you can use it for many of your wants, needs, or wishes. Once approved, you get to choose how much of it you want to use and when. While it can fund renovations you’ve been dreaming of—potentially increasing your home’s value—you can also use it to support your family, fund education goals, or even purchase a new car.
Goals and priorities can change, but using your home’s equity can be a powerful financial decision.
A Citizens HELOC can help homeowners make their investment a powerhouse. Click here to learn more about how they can help you fund your goals. Citizens is brand name of Citizens Bank, N.A. (NMLS ID #433960) 
