How much will a $100,000 home equity loan cost monthly now that the Fed cut interest rates?

Owners considering borrowing from their home equity should carefully calculate the potential monthly costs before applying. Thana Prasongsin/Getty Images

If you're considering borrowing against your home equity , it's important to understand that many lenders will require you to maintain a 20% threshold in the home.

But in today's economic climate, in which home equity levels just hit a new record high , that's not much of a concern. With the average home equity amount comfortably over $300,000 now, borrowing a large, six-figure sum like $100,000 is relatively easy. And, thanks to a new interest-rate cut campaign from the Federal Reserve , it's poised to become less expensive, too.

The central bank issued its first rate cut of the year last week, with other cuts now w