Economy & Fed
Homeowners borrow against their houses at fastest pace since financial crisis
Americans owed $481 billion on home equity lines of credit in the third quarter, up from $422 billion a year earlier, the Federal Reserve Bank of New York said. Borrowing last grew this fast before the financial crisis. A home equity line is a loan secured by your house. Rates on these lines have fallen to around 7.5%, barely above the 7.2% on a new mortgage, Jefferies said in a note. Jefferies named Home Depot (NYSE: HD) and Lowe's as possible beneficiaries, reasoning that homeowners may spend that equity on their houses.
The numbers
| Home Depot (HD) price | $348.26 |
|---|---|
| Home Depot (HD) change | −0.87% |
| Home Depot (HD) market value | $350 billion |
| Home Depot (HD) 52-week high | $391.05 |
| S&P 500 change | −0.35% |
| 10-year Treasury yield | 5.10% |
Thursday’s close
Companies in this story
Share this story
Not investment advice.
