What are the monthly payments on a $75,000 home equity loan post-December Fed rate cut?

A loan for $75,000 may seem unattainable on the surface until you realize that your current home equity amount is likely worth significantly more than that. With the average home equity amount worth hundreds of thousands of dollars right now, a home equity loan for $75,000 may not only be relatively easy to access, but it could also offer a cost-effective way to borrow that alternative products simply cannot right now.

That's especially true this December after the Federal Reserve issued another interest rate reduction on December 10, its third such cut in the last four months. Three Fed rate cuts have now resulted in the Federal funds rate being lowered by 75 basis points, and that's reverberating throughout the wider borrowing climate. Home equity loan interest rates haven't been immune to this trend as they now sit around 8% or lower. 

At the same time, borrowing any amount of home equity, but especially $75,000 worth, needs to be done strategically to avoid a foreclosure risk. That starts with knowing the exact repayment costs you'll be responsible for. But what are the monthly payments on a $75,000 home equity loan now, post-December Fed rate cut? That's what we'll break down below.

See how much home equity you have to borrow from here.

What are the monthly payments on a $75,000 home equity loan post-December Fed rate cut?

Monthly payments on a $75,000 home equity loan won't be cheap, thanks to the significant sum of equity being withdrawn here. But they will be more affordable than they've been at other times in the recent past, too. Here's how much a loan of this size will cost per month now, post-December 2025 Fed rate cut, calculated using today's available rates and two different repayment periods:

• 10-year home equity loan at 8.18%: $917.11 per month
• 15-year home equity loan at 8.13%: $722.38 per month

For context, here's what a home equity loan of this same size would have cost after the Fed's October 2025 interest rate reduction:

• 10-year home equity loan at 8.21%: $918.30 per month
• 15-year home equity loan at 8.10%: $721.08 per month

And here's what it would have cost in February, when rates were even higher:

• 10-year home equity loan at 8.55%: $931.90 per month
• 15-year home equity loan at 8.50%: $738.55 per month

Monthly payments here, then, are both lower than they were in November and below what they were in February, too. And these are just average rates. It's possible that owners will be able to find rates that are even lower by shopping around and considering lenders besides just their existing mortgage one. So, if these rates and payments sound affordable to you now and you have the time to comparison shop, it may behoove you to start doing your homework.

See how low your current home equity loan rate offers are now.

The bottom line

A $75,000 home equity loan comes with monthly payments ranging from $722 to $917 now, after the Federal Reserve's third and final interest rate cut of the year. This makes now one of the more affordable times to borrow with a home equity loan in recent history. And thanks to the fixed-rate nature of the product, borrowers will also be protected against any potential volatility next year that may cause rates to stagnate or even rise. Speak with a home equity lender, then, who can answer any questions you may currently have and, more importantly, assist you in taking advantage of this new, more affordable borrowing opportunity.