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HELOC Calculator

Estimate how much you may be able to borrow with a home equity line of credit, and what your payment could be, both during the draw period and after it ends. Free, instant, and no phone number needed.

Developed by AssistQuote

Calculation methodology reviewed by Shannon James Russell· Certified Financial Education Instructor℠ (CFEI®) and Mortgage Loan Originator, NMLS #1809525

Estimated HELOC limit

$100,000

Your equity
$180,000
Equity as a share of home value
45%
Most you could owe in total at this limit
$320,000

How it's figured: home value × the lender's percentage, minus what you owe. This is the method the CFPB describes. Your lender may also look at your credit, income and debts.

Not a quote, offer or approval. AssistQuote is not a lender.

See your home equity options

How this calculator works

How much you can borrow. Many lenders set a HELOC limit by taking a percentage of your home's value and subtracting what you already owe on the home. The calculator does the same: home value × lender's percentage − what you owe = estimated HELOC limit.

Example: a $400,000 home, a lender limit of 80%, and a $220,000 mortgage. $400,000 × 80% = $320,000. $320,000 − $220,000 = a $100,000 estimated limit. The percentage varies by lender and by state. In Texas, all loans on a homestead are generally limited to 80% of its value.

Your payment during the draw period. Many HELOCs let you pay only the interest during the draw period, often about 10 years. That payment is your balance × your rate ÷ 12. Example: $50,000 at 8% is about $333 a month, and you still owe the full $50,000 when the draw period ends.

Your payment during repayment. When the draw period ends, you can't borrow anymore, and you pay back the balance plus interest, often over 10 to 20 years. The calculator uses a standard loan payment formula. Example: $50,000 at 8% over 20 years is about $418 a month, about $85 more than the interest-only payment.

If your rate rises. HELOC rates are usually variable. The calculator also shows your payments if your rate goes up 2 percentage points.

Good to know

  • This is an estimate. Your lender sets your actual limit, rate, fees, and terms. It will also look at your credit, income, and debts, and usually your home's appraised value.
  • Your home is the collateral. If you can't repay, you could lose your home.
  • The payment jump is real. Ask any lender to show you your payment after the draw period ends, before you sign.
  • Real balances change. Most people borrow and repay at different times during the draw period, so real payments go up and down.
  • Fees add to the cost. Ask about application, appraisal, annual, and early-closure fees.

Compare your options

A HELOC isn't the only way to use your home's equity:

Learn more about how a HELOC works.

Questions people ask

Many lenders multiply your home's value by a percentage they set, then subtract what you owe. The CFPB's example uses 75%. At 80%, a $400,000 home with a $220,000 mortgage could support about $100,000. Your lender also looks at your credit and income.

During the draw period, many HELOCs require interest only: your balance × your rate ÷ 12. During repayment, you pay principal and interest in equal monthly payments over the repayment period.

Because you start paying back the balance, not just the interest. On $50,000 at 8%, the payment goes from about $333 to about $418 a month over a 20-year repayment period.

Usually, yes. Most HELOCs have variable rates tied to an index, like the prime rate, plus a margin. Your payment changes when the rate does.

No. The calculator works without any personal information.

No. AssistQuote isn't a lender and doesn't decide who gets a loan.

Sources