Home Equity & HELOC Calculator
Find how much of your home's equity you can borrow and what the payments will be
Your Home and the Loan
Capped at your available credit
HELOC rates are usually variable
Common for HELOCs; untick to pay principal and interest from the start
You could borrow up to
$90,000
You have $150,000 of equity (37.5%). Borrowing $50,000 brings your combined loan-to-value to 75.0%.
Home equity
$150,000
37.5% of the home's value
Payment during draw
$354.17
interest only
Payment during repayment
$433.91
up $79.74 a month
Total interest
$96,639
if the rate stays the same
Year-by-Year Schedule
| Year | Phase | Monthly Payment | Interest That Year | Balance at Year End |
|---|---|---|---|---|
| 1 | Draw | $354.17 | $4,250 | $50,000 |
| 2 | Draw | $354.17 | $4,250 | $50,000 |
| 3 | Draw | $354.17 | $4,250 | $50,000 |
| 4 | Draw | $354.17 | $4,250 | $50,000 |
| 5 | Draw | $354.17 | $4,250 | $50,000 |
| 6 | Draw | $354.17 | $4,250 | $50,000 |
| 7 | Draw | $354.17 | $4,250 | $50,000 |
| 8 | Draw | $354.17 | $4,250 | $50,000 |
| 9 | Draw | $354.17 | $4,250 | $50,000 |
| 10 | Draw | $354.17 | $4,250 | $50,000 |
| 11 | Repayment | $433.91 | $4,212 | $49,005 |
| 12 | Repayment | $433.91 | $4,124 | $47,922 |
| 13 | Repayment | $433.91 | $4,028 | $46,743 |
| 14 | Repayment | $433.91 | $3,924 | $45,460 |
| 15 | Repayment | $433.91 | $3,811 | $44,064 |
| 16 | Repayment | $433.91 | $3,687 | $42,544 |
| 17 | Repayment | $433.91 | $3,553 | $40,890 |
| 18 | Repayment | $433.91 | $3,407 | $39,089 |
| 19 | Repayment | $433.91 | $3,247 | $37,130 |
| 20 | Repayment | $433.91 | $3,074 | $34,997 |
| 21 | Repayment | $433.91 | $2,886 | $32,676 |
| 22 | Repayment | $433.91 | $2,681 | $30,149 |
| 23 | Repayment | $433.91 | $2,457 | $27,399 |
| 24 | Repayment | $433.91 | $2,214 | $24,407 |
| 25 | Repayment | $433.91 | $1,950 | $21,149 |
| 26 | Repayment | $433.91 | $1,662 | $17,604 |
| 27 | Repayment | $433.91 | $1,348 | $13,746 |
| 28 | Repayment | $433.91 | $1,007 | $9,546 |
| 29 | Repayment | $433.91 | $636 | $4,975 |
| 30 | Repayment | $433.91 | $232 | $0 |
Assumes the full amount is drawn at the start and the rate stays the same.
How Home Equity Borrowing Works
Equity is your home's value minus what you owe. Lenders let you borrow against part of it, usually until your mortgage plus the new loan reach 80% to 90% of the home's value. A HELOC is a revolving credit line with a draw period, often interest-only, followed by a repayment period with higher payments. A home equity loan pays a lump sum at a fixed rate.
The Formulas
Equity = home value − mortgage balance
Available = value × max CLTV − mortgage
Interest-only payment = balance × rate ÷ 12
CLTV = combined loan-to-value ratio
Borrow Carefully
- •Your home secures the loan, so missed payments put it at risk
- •Plan for the payment jump when the draw period ends
- •Variable rates can rise; test a rate 2 to 3 points higher
- •Compare closing costs and annual fees between lenders
- •Use home equity for lasting value, such as renovations, not everyday spending