More on Heloc:

HELOC stands for home equity line of credit, or simply "home equity line." It is a loan set up as a line of credit for some maximum draw, rather than for a fixed dollar amount. 

For example, using a standard mortgage you might borrow $100,000, which would be paid out in its entirety at closing. Using a HELOC instead, you receive the lender’s promise to advance you up to $100,000, in an amount and at a time of your choosing. You can draw on the line by writing a check, using a special credit card, or in other ways.

HELOCs are convenient for funding intermittent needs, such as paying off credit cards, making home improvements, or paying college tuition. You draw and pay interest on only what you need or use.