HELOC & Home Equity Calculator
Find out how much equity you can tap and what it will cost. See your maximum line of credit at common lender limits, the interest-only payment during the draw period, and the higher payment once repayment begins.
Maximum line of credit
How to use the HELOC calculator
- Enter your home's current value and what you still owe on your mortgage.
- Choose the lender's combined loan-to-value limit. 80–85% is most common.
- Enter how much you plan to borrow, the rate and the draw and repayment periods to see your payments.
How home equity borrowing works
Lenders let you borrow up to a percentage of your home's value across all loans combined. With a $450,000 home, an 85% limit and $250,000 owed, the maximum is $450,000 × 0.85 − $250,000 = $132,500. Your credit score, income and the appraisal determine your actual limit and rate.
A HELOC works like a credit card secured by your home. During the draw period (often 10 years) you can borrow and repay freely, and many lenders require only interest payments. When the repayment period starts, the balance is amortized and the payment can jump sharply, which the calculator shows. Most HELOC rates are variable, so payments also change with interest rates.
A home equity loan instead gives you a lump sum at a fixed rate with fixed payments from day one; the repayment-period figure approximates that. Because your home is the collateral, use equity for lasting value such as renovations or replacing high-interest debt, not everyday spending.
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Frequently asked questions
How much can I borrow with a HELOC?
Typically up to 80–90% of your home's value minus your mortgage balance, subject to credit and income.
What is the difference between a HELOC and a home equity loan?
A HELOC is a revolving line with a variable rate and an interest-only draw period. A home equity loan is a fixed lump sum with fixed payments.
Is HELOC interest tax deductible?
Under current US rules, generally only when the money is used to buy, build or substantially improve the home securing the loan. Check with a tax professional.
What happens when the draw period ends?
You can no longer borrow, and payments switch to principal plus interest over the repayment period, often significantly higher.