Home Equity vs. Auto Loan

Compare using a home equity loan versus an auto loan to finance your vehicle purchase.

Shared Inputs

$

Auto Loan

%
60 months
12 months84 months
Monthly Payment$587
Total Interest$5,219
Total Cost$35,219

Home Equity Loan

%
120 months
60 months180 months
%
Monthly Payment$356
Total Interest$12,733
Tax Savings$3,056
Net Cost$39,677

Best Option

Auto Loan$4,458

Note: Using home equity puts your home at risk. Interest deductibility depends on how funds are used. Consult a tax professional.