HELOC closing costs vary by lender and loan amount, but are generally lower than a first mortgage refinance. Here is what California borrowers should expect.

Common HELOC Closing Costs

• Appraisal fee: Most HELOCs require an appraisal — either a full interior appraisal ($500–$900) or an automated valuation model (AVM) accepted by some lenders for lower-risk transactions
• Title insurance: A lender’s title policy is required; typically $300–$700 for a HELOC
• Origination or processing fee: Some lenders charge a flat processing fee ($200–$500); others charge points
• Recording fees: County recording fees for the deed of trust — $100–$250 in most California counties
• Notary/closing fee: If a mobile notary or escrow signing is required

No-Closing-Cost HELOCs

Some lenders offer no-closing-cost HELOCs where the lender covers upfront fees in exchange for a slightly higher rate or a minimum draw requirement. These can be a good option if you plan to use the HELOC actively and keep a balance, but the higher rate means they are not always the best value for long-term holders.

Annual Fees and Inactivity Fees

Some HELOC lenders charge an annual maintenance fee ($50–$100/year) or an inactivity fee if the line is not used. Review all fee terms, not just closing costs, before committing to a HELOC lender.