HELOC Balances Surge 41% Since 2021 as Mortgage Debt Hits $13.19 Trillion
Mortgage balances inched up by 0.16% in Q1 2026 to $13.19 trillion, but Home Equity Line of Credit (HELOC) balances soared by 3.7% quarter-over-quarter and 10.9% year-over-year to $446 billion, up 41% since Q1 2021. The housing-debt-to-income ratio dipped to 58.0%, the third-lowest on record. Serious delinquency rates for mortgages (1.09%) and HELOCs (0.95%) remain low, comparable to 2018-2019 levels. Foreclosures edged up to 59,160 consumers, down 4.1% year-over-year. The New York Fed, in partnership with Equifax, provided the data. Wolf Richter notes that homeowners are choosing HELOCs over refinancing due to the interest rate gap between existing low-rate mortgages and higher current rates. The majority of mortgage risks (65%) are now backed by government-sponsored enterprises or agencies, shifting risk from banks to taxpayers.
Key facts
- Mortgage balances rose 0.16% in Q1 2026 to $13.19 trillion.
- HELOC balances increased 3.7% from Q4 and 10.9% year-over-year to $446 billion.
- HELOC balances have surged 41% since Q1 2021.
- Housing-debt-to-income ratio fell to 58.0%, third-lowest on record.
- 90-plus-day delinquency rate for mortgages: 1.09%; for HELOCs: 0.95%.
- Foreclosures affected 59,160 consumers in Q1, down 4.1% year-over-year.
- Data sourced from New York Fed and Equifax.
- 65% of mortgages are guaranteed by GSEs or government agencies.
Entities
Institutions
- New York Fed
- Equifax
- Fannie Mae
- Freddie Mac
- Ginnie Mae
- FHA
- VA
- Bureau of Economic Analysis
- Federal Reserve
- Wolf Street
- Federal Reserve Bank of New York