Home Equity Loans

Unlock the equity in your home and access additional financing options for:

• Home improvements

• Major purchases like a car or second home

• Education costs

• Medical bills

• Consolidating your debt *, **

• Emergencies

• Refinancing your mortgage *

Plus, when you borrow from Orrstown Bank, you know you're working with a lender who makes decisions locally. Explore Orrstown’s lending options to see how you can put the equity in your home to work for your family.

Compare Home Equity Loans and Rates

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	SmartLock™ Home Equity Line of Credit	Home Equity Installment Loan (HEIL)
You want the flexibility to borrow money when you need it
Low Intro Rate	View Available Rates	View Available Rates
Minimum line or loan amount	$5,000	$5,000
Payment options -  Interest Only during the draw period
Payment options - Pay the same amount every month
Interest paid may be tax deductible*
Can be used for overdraft protection for your Orrstown checking account during the draw period*
You have a one-time borrowing need
Write a check or make an online transfer  during the draw period
	SmartLock™ Home Equity Line of Credit	Home Equity Installment Loan (HEIL)
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 ** Consolidating non-secured debt into a home equity line of credit (HELOC) will result in the Bank acquiring a security interest in your dwelling. If you fail to fulfill the terms of this obligation, this failure may result in the loss of the dwelling in the event of default.

Why Take Out a Home Equity Loan With Orrstown Bank? 

When you take out a home equity loan or home equity line of credit from Orrstown, you'll enjoy:

• A high-touch, transparent lending experience without structure issues or hidden fees.
• Professional, community-oriented, friendly client service.

Home Equity Loan vs. Line of Credit: What Are the Differences?

While home equity loans offer a lump sum upfront, home equity lines of credit allow homeowners to borrow as needed up to a preset credit limit. Additionally, home equity loans have fixed interest rates — over the life of the loan, a borrower is required to make a fixed payment — while HELOCs have a variable interest rate, and payments are generally not fixed.

Both equity lines of credit and home equity loans can allow you to access funds for various purposes, including making home improvements and consolidating debt.

Why Take Out a Home Equity Loan?

Taking out home equity loans in Maryland and Pennsylvania comes with a multitude of advantages:

• It can be a great opportunity to recast the equity you've built up in your home into cash.
• Home equity loan interest rates are often lower than credit cards and personal loans. Learn more about how to manage your debt. 
• You can pay off the loan early and refinance the loan at a lower rate to pay off the loan sooner.

Why Take Out a Home Equity Line of Credit?

Home equity lines of credit also have their advantages:

• You'll know the amount of the credit limit or the maximum you can potentially borrow.
• You can borrow as much or as little as you need up to the credit limit.

Home Equity Line of Credit and Home Equity Loan Requirements

You will need to meet similar requirements to qualify for both a home equity loan and HELOC. While requirements may vary by lender, you will generally need a reliable payment history, sufficient income, a low debt-to-income ratio, good credit and a certain percentage of equity in your home.

To obtain a home equity loan in Maryland or Pennsylvania, you first need to determine how much equity you have in your home. Although your lender will determine the final calculations, it's beneficial to have a solid grasp of how this figure is derived. To ascertain your equity, a lender will take the value of your home and subtract the amount you still owe on it. For example, you might have $50,000 in equity to draw on and $50,000 left on your home loan if your home appraises at $100,000.

Understanding your loan-to-value (LTV) ratio will also help you determine how much equity you have in your home and if you qualify for a home equity loan. A lender will allow you to borrow a quota of the equity that's available.

Talk to Us About Home Equity Loans in Pennsylvania and Maryland

Are you ready to use the equity you've built in your Maryland or Pennsylvania home to your advantage? Orrstown Bank offers an easy application process for both home equity lines of credit and home equity loans.

Reach out to us to get started today.