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HELOC Calculator

Calculate how much you can borrow against your home equity with a Home Equity Line of Credit.

Your Home Details

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Most lenders cap at 80-90% of home value

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HELOCs typically have variable rates

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Enter Your Home Details

Fill in your home value and mortgage balance to see how much equity you can access.

What is a HELOC?

A Home Equity Line of Credit (HELOC) is a revolving credit line secured by your home equity. Unlike a home equity loan, you can borrow and repay funds as needed during the draw period, similar to a credit card but with much lower interest rates.

How to Use

  1. 1 Enter your home's current market value.
  2. 2 Enter your remaining mortgage balance.
  3. 3 Select a Combined LTV ratio (determines max borrowing).
  4. 4 Enter the HELOC interest rate and amount you want to borrow.

FAQ

What is Combined LTV (CLTV)?

Combined Loan-to-Value ratio includes all loans secured by your home (mortgage + HELOC) divided by your home's value. Most lenders cap CLTV at 80-90%.

What's the draw period vs repayment period?

Draw period (5-10 years): You can borrow funds as needed. Minimum payments only cover interest, so your balance stays flat unless you pay extra.

Repayment period (10-20 years): You can no longer borrow. Payments now include principal + interest, so they're significantly higher.

Many borrowers are surprised by the payment jump when transitioning to repayment.

Are HELOC rates fixed or variable?

Most HELOCs have variable rates tied to the prime rate. Your rate and payment can change monthly. Some lenders offer fixed-rate conversion options for a portion of your balance.

What can I use a HELOC for?

Common uses include home improvements, debt consolidation, emergency funds, education expenses, or major purchases. Interest may be tax-deductible if used for home improvements.

What happens if I can't make payments?

A HELOC uses your home as collateral. If you default, the lender can foreclose on your home. Only borrow what you can comfortably repay, and budget for potential rate increases.

Calculator Limitations

This calculator provides estimates only. HELOC rates are variable and can change monthly. Actual terms depend on credit score, income, and lender requirements. Doesn't include closing costs, annual fees, or early termination fees.