How to borrow home equity while waiting for refinancing rates to fall

There are two primary ways for homeowners to borrow equity now while they wait for refinance rates to decline. sakchai vongsasiripat/Getty Images

Mortgage interest rates have declined for much of 2025 and continued to fall this summer and September , giving homebuyers reason for optimism – and mortgage purchase applications have soared in response.

Existing homeowners hoping to refinance , however, may need to wait a bit longer for relief.

While the average mortgage interest rate on a 30-year mortgage term declined to 6.35% last week, according to FreddieMac , the lowest in nearly a year, refinance rates remain relatively high. The average rate on a 30-year refinance is 6.72% now, meaning that homeowners would have to condense their loan term in a 15-year one to get a ra