HELOC calculator

Available HELOC credit line

$122,500

Total$122,500
Home equity
$190,000
Amount drawn
$50,000
Interest-only payment (draw period)
$354.17
Payment once repayment starts
$433.91

HELOC rates are variable and usually track the prime rate, so the payment moves when the Fed moves. Your home secures the balance.

Compare HELOC offers before you put your home behind one

Margins, caps and fees vary widely between lenders. Get real quotes rather than working from prime alone.

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The short answer

A home equity line of credit lets you borrow against your equity up to a combined loan-to-value limit, usually 80% to 85%. Enter your home value, mortgage balance and lender CLTV cap to see the available credit line, the interest-only payment while you draw, and the fully amortising payment afterwards.

Methodology

The research behind this calculator

Most people accept the first number they are given. HELOC calculator runs on live Federal Reserve series, state and county cost data, and published lender pricing rules — so the output reflects where you actually live, not a national average.

50states with local tax and cost inputs
4,250banks and credit unions tracked
8,692Federal Reserve rate observations
3,222US counties in our cost dataset

Draw period versus repayment period

A HELOC typically runs a 10-year draw period during which you can borrow, repay and reborrow, paying interest only. When the draw period ends, the line closes and the balance amortises over a repayment period of usually 10 to 20 years.

HELOC rates are variable

Most HELOCs price at the bank prime rate plus a margin, and prime moves with the Federal Reserve's target rate. When the Fed hikes, your payment rises within a billing cycle or two — unlike a fixed home equity loan.

What lenders look at

  • Combined loan-to-value, usually capped at 80% to 85% of appraised value.

  • Credit score, typically 680 or higher for competitive pricing.

  • Debt-to-income ratio, generally under 43%.

  • Documented income — a HELOC is secured by your home, so default risk is foreclosure risk.

The formula

Available line = (home value × max CLTV%) − mortgage balance. Draw-period payment = drawn balance × rate ÷ 12. Repayment payment = amortising payment on the drawn balance over the repayment term.

FAQ

First time home buyer steps from budget to closing

Before viewing homes, review income, debt, savings, credit, and the full monthly cost of ownership. A mortgage payment is only one component; property taxes, homeowners insurance, mortgage insurance, HOA dues, utilities, maintenance, and repairs may also apply. A debt to income ratio calculator provides a planning estimate, but a lender’s underwriting rules determine how debts and income are treated for a loan application.

Mortgage preapproval can help define a conditional financing range, but it is not final approval or a requirement to spend the full amount. Compare loan estimates from lenders, including the interest rate, annual percentage rate, points, lender fees, cash to close, and projected payment. An offer may involve earnest money, inspection terms, financing conditions, appraisal issues, and title review. Escrow and title insurance serve different purposes and should be reviewed separately.

Common questions

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