Is putting $5k into a HELOC for home improvements actually worth it in this market?

So I took out a HELOC last spring for about $35k to redo my kitchen and fix some plumbing issues in my 1920s house. Spent $5k on the loan fees and appraisal alone before I even touched a wrench. Now with rates being what they are, I'm wondering if I should have just saved up cash instead of jumping on the HELOC train. On one hand, having the money upfront let me finish the project fast and avoid price hikes on materials. On the other hand, my monthly payment is way higher than I expected because I didn't lock in a fixed rate. Has anyone else done this gamble and regretted it or found it was the right call?

3 comments

3 Comments

jana_fox508d ago

Did your friend end up kicking themselves for not going fixed rate when they had the chance? My buddy did the same thing last year and his payment jumped like $200 a month overnight.

william_henderson8d ago

Yeah my buddy did the exact same thing, thought he was being smart by staying variable and now he's stuck paying for a new roof AND the higher rate.

daniel_walker7d ago

Man that's rough. @william_henderson did he at least get a few months of lower payments before it hit?