Want to borrow home equity without refinancing? 3 options to consider this May

MoneyWatch: Managing Your Money Want to borrow home equity without refinancing? 3 options to consider this May We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. .chip { background-image: url('/fly/bundles/cbsnewscore/images/chip-bgd/chip-bgd-moneywatch.jpg'); } By Matt Richardson Matt Richardson Sr. Managing Editor, Managing Your Money Matt Richardson is the senior managing editor for the Managing Your Money section for CBSNews.com. He writes and edits content about personal finance ranging from savings to investing to insurance. Read Full Bio Matt Richardson May 4, 2026 / 1:32 PM EDT / CBS News Add CBS News on Google The average homeowner is sitting on a record level of equity from which to leverage right now. sakchai vongsasiripat/Getty Images Elevated interest rates aren't likely to decline anytime soon. That was one of the big takeaways last week after the Federal Reserve elected to keep its benchmark interest rate frozen for the third time this year. And with no Fed meeting on the calendar again until June, and the likelihood of a rate cut then incredibly small now, American borrowers will be dealing with higher borrowing costs for the foreseeable future. Making ends meet in this climate, then, becomes critically important.  Fortunately, there is a viable funding source to consider this May: home equity. With average home equity levels in the country hitting a record high in 2025, there's plenty of money to borrow from now. At the same time, a cash-out refinance may not exactly be the smart way to access it. Since this will require taking out a new loan to pay off the existing one (homeowners keep the difference as cash), a mortgage rate exchange will inevitably occur. And that will leave many homeowners in a worse position than they already are, thanks to today's mediocre average mortgage rates.But there are ways in which these homeowners can still leverage their home equity wit...