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Borrowing should always be done with care and precision. Failure to repay what's been borrowed, after all, can easily result in the home in question being on, leaving homeowners in a worse financial position than they started in. It's critical, then, to not only calculate your potential payments in advance, but it's equally important to choose the right product, as and operate in similar but not identical ways.

It's also important to time your application carefully. Ideally, you'll want to secure the funds when are low and the funding source, in this case, your home equity, is plentiful. Going into this September, then, homeowners in need of extra financing may find it an opportune time to apply for a HELOC. But those aren't the only two reasons to borrow with this unique product right now. 

Below, we'll dissect three primary ones prospective HELOC borrowers should consider heading into the new month.

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Here are three timely reasons why a HELOC could make sense for homeowners this September:

Not only is a HELOC noticeably cheaper than a home equity loan now (with an average 8.12% rate versus in the 8.24% to 8.38% range for home equity loans), it's one of the overall. are lower than personal loans (around 12% now) and credit cards (just under a record 23%). And unlike personal loans and credit cards, the interest paid on a if used for . That makes concerns over an interest rate paid today even less of an issue if homeowners know that they'll be able to reduce their tax bill at the end of the year.

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subject to decline based on market conditions. And market conditions look favorable for September, with a Fed rate cut listed at a near 90% likelihood in the month, according to the tool. A cut there, then, will inevitably reduce HELOC rates, perhaps even before the cut is made official. That said, HELOC rates can rise as easily as they can decline, so borrowers will need to monitor market conditions closely over time if they ultimately choose this unique home equity borrowing product.

are continuing to rise in many parts of the country, with the average amount recently hitting a new record high. So, if you need to borrow a large, six-figure amount of money and don't want to spend a lot on interest in the process, a HELOC could be the smart way to do so this September. That said, avoid the temptation to overborrow, too. While interest-only payments will be required during the , it's always wise to withdraw an amount you can afford to repay with ease.

If you're a homeowner in need of extra financing going into the fall, there's a compelling case to be made for choosing a HELOC. With rates here lower than most alternatives, a variable rate well-positioned to decline further in the month and an unusually high funding source to utilize, a HELOC may be the best way for homeowners to borrow this September – and in the months to follow.