myHELOCCalculator.com
🏠 Updated for 2026
HELOC Calculator
Calculate your home equity line of credit limit, monthly payments during the draw period, and total cost over the full loan term. Instant results.
✓ Draw period & repayment payments
✓ Available credit limit
✓ Total interest cost
HELOC Calculator
Enter your home value, mortgage balance, and loan details to see your full HELOC picture.
Your Home & Equity
$
$
Most lenders limit total borrowing to 80–90% of your home value
Your Home Equity Breakdown
Mortgage: $280,000
Max HELOC: —
Protected equity: —
HELOC Terms
%
HELOCs are variable — typically Prime Rate + margin
$
Up to your credit limit
Period during which you can draw funds — interest-only payments
After draw period ends — principal + interest payments
How much of your credit line will you use?
25%
—
50%
—
75%
—
100%
—
📋 Draw Period
$0/mo
10 years · Interest only
Monthly payment—
Interest rate—
Total interest—
Balance at end—
✅ Repayment Period
$0/mo
20 years · Principal + interest
Monthly payment—
Payment jump—
Total interest—
Fully paid off—
Total Cost Summary
Amount Borrowed—
Interest During Draw Period—
Interest During Repayment—
Total Interest Paid—
Total Cost (Borrowed + Interest)—
How HELOC Payments Work
- Draw PeriodTypically 5–10 years — you can borrow, repay, and re-borrow. Monthly payments are interest-only on the outstanding balance
- RepaymentAfter draw period ends — no more borrowing. Monthly payments include principal + interest on the outstanding balance
- Payment JumpRepayment payments are often 2–3× higher than draw period payments — plan for this shift in advance
- Variable RateHELOC rates adjust with the Prime Rate — if rates rise, your payment increases. Budget for rate increases of 1–2%
- TaxInterest may be tax-deductible if used for home improvement — consult a tax advisor
HELOC Qualification Requirements
- EquityTypically need 15–20% equity remaining after the HELOC — most lenders cap at 80–85% CLTV
- Credit ScoreMost lenders require 620+ minimum; best rates require 700+. Check your score before applying
- DTI RatioDebt-to-income ratio typically must be under 43–50% — includes your mortgage + HELOC payment
- IncomeLenders verify stable income through pay stubs, tax returns, or bank statements
- AppraisalMost lenders require a home appraisal — either in-person or automated — to confirm home value
HELOC Calculator — Frequently Asked Questions
How much can I borrow with a HELOC? ›
Your HELOC credit limit is based on your home value, your existing mortgage balance, and your lender’s maximum Combined Loan-to-Value (CLTV) ratio. The formula is: (Home Value × Max CLTV) − Mortgage Balance = Max HELOC. For example: ($450,000 × 85%) − $280,000 = $382,500 − $280,000 = $102,500 maximum HELOC. Most lenders use 80–85% CLTV, though some go up to 90% for well-qualified borrowers. The calculator above does this math automatically.
What is the difference between a HELOC and a home equity loan? ›
A HELOC is a revolving line of credit with a variable interest rate — like a credit card secured by your home. You draw funds as needed during the draw period and only pay interest on what you’ve borrowed. A home equity loan is a lump-sum loan with a fixed interest rate — like a second mortgage. You receive all the money upfront and make fixed monthly payments from day one. HELOCs offer more flexibility; home equity loans offer payment predictability. If rates are rising, a fixed home equity loan may be safer.
What happens at the end of the HELOC draw period? ›
At the end of the draw period (typically 10 years), you can no longer draw funds from the line of credit. The outstanding balance converts to a repayment loan — you make principal + interest payments for the repayment period (typically 20 years). This usually means a significant payment increase — sometimes 2–3× higher than your interest-only draw period payments. Some HELOCs require you to repay the entire balance at the end of the draw period (balloon payment) — check your loan terms carefully. Some lenders allow renewal of the draw period.
Is HELOC interest tax deductible? ›
HELOC interest may be tax deductible, but only if the funds are used to “buy, build, or substantially improve” the home that secures the loan. Since the 2017 Tax Cuts and Jobs Act, HELOC interest used for personal expenses (debt consolidation, vacations, cars) is no longer deductible. Keep documentation showing how HELOC funds were used for home improvements. The deduction is only available if you itemize deductions rather than taking the standard deduction. Consult a tax advisor for your specific situation.
What credit score do I need for a HELOC? ›
Most lenders require a minimum credit score of 620 for a HELOC, though some go as low as 580. To qualify for the best rates, you typically need a score of 700 or higher. Lenders also look at your debt-to-income ratio (most require under 43%), your employment history, and your payment history on your existing mortgage. If your credit score is below 680, consider spending 6–12 months improving it before applying — even a small rate improvement on a large HELOC can save thousands over the loan term.
Can I pay off my HELOC early? ›
Yes — you can pay down or pay off a HELOC at any time during both the draw and repayment periods. Most HELOCs have no prepayment penalty, though some lenders charge an early closure fee (typically $300–$500) if you close the account within the first 2–3 years. During the draw period, paying down the balance reduces your monthly interest charge and makes those funds available to draw again. Paying off the full balance during the draw period doesn’t close the account — you retain access to the credit line until the draw period ends.