KeyBank: 2022 Home Equity Review

Founded in Albany, New York in 1825, KeyBank is one of the oldest major banks in the United States. Now based in Cleveland, Ohio, it has more than 1,000 branches in 15 states and offers owners several options for home equity loans and home equity lines of credit, or HELOC.

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One of the benefits of a KeyBank HELOC is that it comes with a fixed rate option, which can provide borrowers with valuable savings in today’s environment. context of rising interest rates. In addition to home loans, the bank also offers banking services such as checking and savings accounts, investment accounts, and personal loans.

KeyBank: at a glance

Types of loans offered

Home Equity Loan, HELOC


N / A

Amount of the loan

The home equity loan range is $25,000 to $500,000; The HELOC range is $10,000 to $500,000

Minimum credit score

N / A

Repayment Terms

Five to 30 years

Average approval time

N / A

KeyBank is more suitable for people looking for a longer repayment term as it offers borrowers a 30-year repayment option. It also offers a low minimum loan amount of $10,000 for its HELOC, ideal for people who only need access to a small amount of money and don’t want to pay interest when withdrawing funds. extras that they won’t use.

For HELOCs and home equity loans, homeowners can borrow up to 80% of their combined loan-to-value ratio, or CLTV, which is the total of your outstanding mortgage balance and any other loans on your home, divided by the current value.

What we like

Interest rate reduction: If the borrower, or a family member who lives in the house, opens a KeyBank checking and savings account, the bank will reduce their interest rate by 0.25%, which can save them dozens thousands of dollars over the life of the loan.

Flat rate option: Although the interest rate on a KeyBank HELOC is variable, the bank offers options to fix the rate, which can save you money when interest rates rise.

Principal and interest payments: Instead of making interest-only payments for the first few years of your HELOC repayment, you have the option of making payments on your principal balance plus accrued interest – again, saving you long-term money – provided you can afford the higher monthly payments from the start.

Low minimum loan amount: The minimum amount for a HELOC is $10,000, which is useful if you don’t need a lot of money for a small project like renovating a home office. However, when a HELOC has a higher minimum, the owner can withdraw more money than they need, on which they must pay interest.

What we don’t like

Restricted availability: The bank only offers home equity loans in 15 states: Alaska, Colorado, Connecticut, Idaho, Indiana, Massachusetts, Maine, Michigan, New York, Ohio, Oregon, Pennsylvania, Utah, Vermont and Washington. For a KeyBank HELOC, you can qualify anywhere in the United States except Alabama, Arizona, California, Nevada, Texas, and the District of Columbia.

High minimum home equity loan amount: If you are a homeowner who needs less than $25,000, a KeyBank home equity loan does not qualify.

Early Termination Fee: You are required to reimburse KeyBank for any third party fees it has paid on your behalf if you repay your loan in full and close your account within 36 months.

Home equity loan options

KeyBank offers fixed and variable rate home equity loans and HELOCs. It also offers a home construction loan for home renovations, which not all banks offer as an option.


KeyBank charges a $295 origination fee for home equity loans, and depending on your loan amount, you may also have to pay title insurance premiums. For HELOCs and home equity loans, if you repay your home loan in full and close your account within 36 months of opening it, you are responsible for reimbursing KeyBank for any third party fees it covered on your behalf during the closing process. .

How to qualify

Although KeyBank does not disclose its minimum credit score requirements, many lenders will consider scores starting in the middle of the 600 range, provided you have sufficient net worth (usually at least 15% to 20% ) and a stable and adequate income. You can apply for a home equity loan from KeyBank as long as you live in one of its 15 eligible states and have current risk insurance on your property.


You can apply online or in person at one of KeyBank’s 1,000 branches. You will need the documents required to be approved for a home loan, such as your recent W-2 form, pay stubs and tax returns to verify your income and employment, and any documentation related to your existing mortgage. .

If you sign up for a KeyBank checking and savings account during the process, you can get a 0.25% discount on your interest rate.

Customer service

Call KeyBank or make an appointment at a bank branch. Its customer service home loan inquiry line is available Monday through Friday, 5 a.m. to 5 p.m. PT, as well as Saturday, 6 a.m. to 12 p.m. PT.

Live phone support:

  • Home loan options: 888-539-0018
  • Existing Home Loan Customers: 800-422-2442

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