What is combined loan-to-value (CLTV)?

Your existing mortgage balance plus any new borrowing, divided by your home's value. Lenders cap this — commonly at 80-85% — to keep a cushion in case home values decline.

Can I borrow up to the full available equity shown here?

This shows the maximum a typical lender's CLTV cap would allow — your actual approved amount also depends on your credit score, debt-to-income ratio, and the specific lender's underwriting, and may be lower.

Is HELOC interest tax-deductible?

In the US, HELOC interest is deductible only if the funds are used to buy, build, or substantially improve the home securing the loan, per current IRS rules — using it for other purposes (debt consolidation, tuition) generally isn't deductible. Confirm with a tax professional for your situation.

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Finance

HELOC & Home Equity Loan Calculator

Available equity to borrow, and the monthly payment on it.

🔒 Runs entirely in your browser — nothing here is ever uploaded

Last reviewed 2026-08-25

About the HELOC & Home Equity Loan Calculator

Estimates how much home equity you could borrow against — based on your home's value, your existing mortgage balance, and your lender's maximum combined loan-to-value ratio — plus the monthly payment if you borrowed it as a fixed-term home equity loan.

How to use it

Enter your home's Current value and your Existing mortgage balance.
Enter your lender's Maximum combined loan-to-value (CLTV) — most lenders cap this at 80-85%.
Enter an Interest rate and Repayment term to see the monthly payment on the full available amount.
Read your available equity, estimated payment, and total interest in the result panel.

Formula

Available equity = (home value × max CLTV%) − existing mortgage balance

Monthly payment uses the standard amortizing-loan formula (the same one behind this site's own Mortgage Calculator) applied to the available-equity amount, rate, and term you enter — modeling it as a fixed-term home equity loan rather than a revolving HELOC line, since a line of credit's payment depends on how much of it you actually draw and when.

Worked example

A $450,000 home with a $220,000 mortgage balance, at an 85% max CLTV, has $162,500 in available equity ($450,000 × 85% − $220,000) — borrowed as a 10-year fixed loan at 9%, that's roughly a $2,058 monthly payment.

Interpreting your result

Most lenders cap combined loan-to-value (existing mortgage + new borrowing, divided by home value) at 80-85%, though this varies by lender and credit profile. A HELOC itself is usually a variable-rate revolving line, not a fixed-payment loan — this calculator's payment estimate assumes you borrow and repay the full available amount as a fixed-rate home equity loan instead, which is the more predictable of the two products to model.

Recommendations

• A HELOC's variable rate can rise significantly over its draw period — if you're borrowing a large amount for a long term, ask whether your lender offers a fixed-rate conversion option.
• Because your home secures the loan, missed payments risk foreclosure — borrow against equity for durable value (renovations, debt consolidation at a lower rate) rather than discretionary spending.
• A HELOC typically has a draw period (borrow as needed, interest-only payments) followed by a repayment period (principal + interest) — this calculator models the simpler fixed-loan case; ask your lender for the exact structure of a HELOC specifically.

Frequently asked questions

A home equity loan gives you a lump sum with a fixed rate and fixed monthly payments. A HELOC is a revolving line of credit, usually with a variable rate, that you draw from as needed during a draw period before repayment begins — this calculator's payment estimate models the fixed-loan case for predictability.