Home Equity Loan Calculator
Estimate your available home equity, maximum borrowing capacity, monthly home equity loan payment, total interest and payoff time.
Home Equity Results
Home Equity Breakdown
| Current Home Value | $0 |
| Outstanding Mortgage | $0 |
| Other Home-Secured Debt | $0 |
| Total Existing Debt | $0 |
| Current Home Equity | $0 |
| Maximum Combined LTV | 0% |
| Maximum Debt at Selected CLTV | $0 |
| Estimated Borrowing Capacity | $0 |
Home Equity Loan Payment Details
After Borrowing the Home Equity Loan
Extra Payment Comparison
Yearly Amortization Schedule
| Year | Principal | Interest | Total Paid | Ending Balance |
|---|---|---|---|---|
| Calculate your loan to see the amortization schedule. | ||||
How to Use the Home Equity Loan Calculator
Enter your current home value and outstanding mortgage balance. The calculator subtracts your existing home-secured debt from your estimated property value to calculate current home equity.
Next, select a maximum combined loan-to-value percentage. The calculator estimates the maximum amount of debt supported at that CLTV level and subtracts your existing debt to estimate potential borrowing capacity.
Enter the amount you are considering borrowing, along with the estimated interest rate and repayment term. The calculator then estimates the monthly payment, total interest, total repayment and amortization.
What Is Home Equity?
Home equity is the portion of your home’s value that you own after subtracting outstanding home-secured debt. For example, if a home is worth $400,000 and the outstanding mortgage is $250,000, the estimated equity is $150,000 before considering any other liens or home-secured debt.
What Is Combined Loan-to-Value?
Combined loan-to-value, commonly called CLTV, compares total home-secured debt with the property’s value. A lender may use CLTV when evaluating a home equity loan or HELOC application.
Home Equity Loan vs. HELOC
A home equity loan generally provides a lump sum with a repayment schedule. A HELOC typically provides a revolving line of credit that can allow borrowers to draw funds during a specified period. Rates, repayment structures and qualification requirements can differ.
Frequently Asked Questions
How much can I borrow with a home equity loan?
The amount you may be able to borrow depends on your home’s value, existing mortgage and other liens, the lender’s CLTV limit, income, credit profile and other underwriting requirements. This calculator provides an estimate based primarily on the selected CLTV.
How is home equity calculated?
Estimated home equity is calculated by subtracting outstanding home-secured debt from the estimated current value of the home.
What does 80% CLTV mean?
An 80% CLTV means total home-secured debt is limited to approximately 80% of the home’s value under the assumption used by the calculator. Actual lender limits can be different.
Does a home equity loan affect my mortgage?
A home equity loan is generally a separate loan secured against the home. Your existing mortgage balance remains in place, while the new loan adds additional home-secured debt.
Does paying extra reduce interest?
Extra principal payments can reduce the outstanding balance faster. This can reduce future interest and potentially shorten the repayment period, assuming the loan allows additional principal payments without a relevant prepayment penalty.
Are closing costs included?
The calculator includes an optional estimated loan-fee field. Actual home equity loan closing costs and lender fees vary, so this should only be treated as an estimate.