Business purpose only
This line is written for business use. The money goes to the business: a purchase, a build-out, payroll through a gap, paying off expensive short-term financing. It is not a personal HELOC for a kitchen or a vacation, and the application will ask what the money is for.
How it works
- You apply online. Figure says approval can take as little as 5 minutes, with income and employment verified.
- The property is valued and the line is set against your equity.
- You close, with an online notary in most states, and the full line is funded, less the origination fee. Figure says funding can arrive in as few as 5 business days.
- You repay over the term you chose, 5 to 30 years, at a rate fixed when you draw.
The business gets the money. Your home secures it.
What it costs
Rates below are from our primary lender’s pricing for this program, dated September 2, 2026. Rates move. Your offer is the number that counts.
Four things set your rate: your credit score, how much of the home’s value is borrowed once the line is added (every mortgage plus the line, divided by the value), whether the line is the only mortgage on the home or sits behind one, and the term you pick.
Fixed rate, line behind an existing mortgage, 30-year term, primary residence, 4.99% origination fee, autopay. That is the common case.
| Credit score | Borrowing up to 60% of value | 60% to 75% | 75% to 90% |
|---|---|---|---|
| 760 and up | 7.90% to 8.25% | 8.25% to 8.70% | 8.80% to 9.85% |
| 700 to 759 | 8.55% to 9.05% | 8.60% to 9.55% | 9.60% to 10.95% |
| 660 to 699 | 9.80% to 10.35% | 9.90% to 11.90% | 12.30% to 12.80% |
| 600 to 659 | 11.15% to 11.60% | 12.05% to 12.95% | Not offered |
How much of the value you can borrow depends on credit: up to 75% with a score under 660, 80% at 660, 85% at 680, 90% at 720.
If the line will be the only mortgage on the home, rates run lower, 7.85% to 9.60% across the same tiers, and the minimum score is 640.
What moves the number from there
- A 10, 15, or 20-year term: 0.40 lower (0.25 on a first-lien line).
- A lower origination fee: pay 3.99% instead of 4.99% and the rate is 0.50 higher; pay 1.99% and it is 1.90 higher (0.20 and 0.75 on a first-lien line). Some states cap the fee by law, and the rate is higher there by 0.50 to 2.00 points: Louisiana, Maine, Rhode Island, South Carolina, and Vermont at 0%; North Carolina at 1%; Indiana, Texas, and Washington at 2%; New Jersey, Pennsylvania, and Kentucky at 1.99% or a step above.
- A second home or investment property: 0.75 higher (0.35 on a first-lien line).
- A 2 to 4 unit property: 0.40 higher.
- Texas: 0.30 higher. New York: 0.45 higher.
- No autopay: 0.25 higher.
- A line behind two mortgages: 0.70 higher, 680 credit or better, up to 70% of value.
There is also a variable-rate option behind an existing mortgage: prime plus 0.60 to 5.50 points, with a 4.50% floor and a 640 minimum score. At the current 6.75% prime, that is 7.35% to 12.25%, and it moves when prime does.
These are interest rates, not APRs. The origination fee comes on top, taken out of the draw at closing. On a $100,000 line at 4.99%, that is $4,990.
The rate is low because the collateral is strong. That is the whole trade.
A worked illustration
$100,000 for the business, held for 12 months, then paid off. The rate is a strong-credit, 10-year figure from the table above.
| Business HELOC at 8.5% over 10 years | $100,000 advance at a 1.30 factor | |
|---|---|---|
| Monthly payment | $1,240 | $10,833, paid as $2,500 a week |
| Cost in the first 12 months | $8,246 in interest, plus up to $4,990 origination | $30,000 |
| Paying it off at month 12 | Saves the remaining interest | Saves nothing without a discount |
Let the HELOC run its full 10 years instead, and the interest is $48,783. The rate is low. The clock is long. Pay it down.
The risk, stated plainly
- Your home is the collateral. If you cannot pay, the lender can foreclose. Business failure does not cancel the debt.
- It is personal debt. It sits on your personal credit, in a second position behind your mortgage.
- The whole line is funded at once. Interest starts on the full amount the day you close.
- The term can outlast the need. A 30-year term on a 1-year business need costs more than a short loan if you never pay it down.
When it fits
- A use with a return you can estimate: buying a practice or a competitor, equipment, a build-out, or paying off expensive short-term financing.
- You have real equity and steady personal income.
- The business can cover the payment from cash flow in a slow month.
When it does not
- You are covering losses. Do not put your house behind a business that is already losing money.
- You are not sure you will stay in the home. A sale means paying off the line.
- A business product will do. If the business qualifies on its own for a line of credit or an SBA loan, keep your home out of it.
Where it is available
The Business HELOC is offered in all 50 states and the District of Columbia. The process differs by state.
- Arranged through our primary lender in 35 states and DC. Kapitus handles the application with Figure.
- Through a licensed mortgage broker in 15 states. Arizona, Georgia, Hawaii, Idaho, Michigan, Minnesota, Nevada, New Jersey, North Dakota, Oregon, South Dakota, Utah, Vermont, Virginia, and West Virginia. Your file is referred to a mortgage broker licensed in your state, who submits it to Figure.
Three state rules that change what you can borrow or how you close:
- A spouse’s income is not counted in Connecticut, Delaware, Florida, Indiana, Kentucky, Maine, Maryland, Massachusetts, New York, Pennsylvania, and Rhode Island. You qualify on your own income there.
- A property held in an LLC does not qualify in New York or Texas. Elsewhere it can.
- Closing is in person, not with an online notary, in Connecticut, the District of Columbia, Massachusetts, New York, South Carolina, and Texas. Expect a few more days.
New York has all three rules. The line is available there, on your own income, for property in your own name, with an in-person closing.
Using it to pay off short-term financing
A HELOC is the classic way to replace a 50% APR advance with single-digit money. Before you do it, ask the lender you are leaving whether the payoff qualifies for a prepayment discount. It can change the payoff amount by thousands.
How to apply
- Fill out our short form. It tags your request as a Business HELOC.
- Complete the full application with Kapitus. What you gave us carries over.
- A specialist confirms the property and the use, and you complete Figure’s application online.
- Close, online in most states, and receive the funds.
For the full picture, read our guide to home equity as business capital.
Sources
- Figure, headline HELOC figures, checked October 13, 2026
- Rates, adjustments, credit minimums, fee options, and borrowing limits: our primary lender’s pricing for this program, dated September 2, 2026
- The Mortgage Reports: Figure Review, updated February 12, 2026, for the draw structure and property types
- Finder: Figure HELOC review, updated May 26, 2026
- State availability, spousal income, LLC, and notary rules: the program’s state matrix from our primary lender, dated September 2, 2026