Ah well let me give you a further point selling you on the magic of the DCU HELOC:
2 times during the course of your HELOC period, you can take a fixed interest advance at .25% over the current variable rate (and they just switched me over to 3.5% at the first of the year).
HELOC is way cheaper out of pocket in terms of closing costs, you're at 3.75% for security purposes if you're worried about interest rates rising. For me it was a no brainer personally and interest rates for me on the mortgage side have moved much more than my HELOC has, and you only have to clear 675 EQ FICO 5 to get that 3.5% current base rate (my 693, in like Flynn!).
The home equity loan is also a possibility in your situation but I think you have the right read: since you're going to be paying it off quickly prioritize closing costs first as those will dominate in the equation. The cash out refinance at 3.25% at your LTV argues to slow pay it and put your money somewhere anyway and amortize that closing cost over the longer period.
DCU's HELOC was stupid easy compared to a full refinance process too if that matters to you, I was incredibly pleasantly surprised by it. Also if you have a personal financial crisis in the future, it's pretty sure bet that your HELOC will be about as good as it gets rate wise and it'll be right there without going through a gnarly mortgage process. FWIW when I looked back in June of last year the DCU HELOC was astonishingly good compared to the competition, like best in class for any lender I've ever heard of to think to look at their product.
If it's not clear, I'm so happy I picked up the HELOC from DCU, quite possibly my best long term credit decision I've made.
@DeeBee78 wrote:Glad to see the +1 for DCU. The fixed rate advance is intriguing, but the reason I didn't factor that into my decision making is the minimum term of 5 years. I don't see any information about prepayment penalties. I'm serious when I say that the balance will be paid off in three years, and I don't want to be forced to stretch it to 5 to avoid a fee.
Can you post the terms for fixed rate advance feature?
I'll take a look later tonight or early tomorrow if I can find it; however, I suspect it's like DCU's other products - zero prepayment penalties.
Those are fortunately rare on any non-shyster lender honestly. Actually you probably should just send them a message and get it straight from them 
.