Will Heloc Rates Go Down. While predicting rates in the future is not easy, there are a few scenarios where it is easy to see heloc rates going down, including a recession, lower inflation and action by the. So, if the federal reserve cuts rates by.25%, your rate will go down by.

And the prime rate is based on the federal reserve’s fed funds rate. When the fed rate declines, the prime rate does, too, so heloc rates fall in step.