Home Equity Loan Calculator

Use it when you want to test the exact inputs on this page: Estimate payment on a lump-sum home equity loan. Compare requested loan with available-equity estimate. The result is a check against your assumptions, not proof that a lender, tax app, broker, platform, or provider will use the same number.

Home value means your best current estimate of what the home could appraise or sell for, not the original purchase price. Current mortgage balance means what you still owe on loans already secured by the home. Desired equity loan means the new lump-sum amount you want to test as a fixed loan. Interest rate means the yearly rate for the new loan. Enter 8.25 for 8.25%, not 0.0825. Loan term means how many years the new home equity loan would be repaid over. Max combined LTV means the combined loan-to-value limit you want to test, such as 80 or 85.

This page is for a lump-sum home equity loan with a fixed payment. A HELOC is different because it is a line of credit that may let you draw money more than once and often has a variable rate.

Combined loan-to-value compares all home-secured debt with the home value. If you owe $260,000 on the first mortgage and test a $50,000 equity loan on a $450,000 home, the combined LTV is about 68.9%.

In plain language: The calculator estimates available equity from home value, mortgage balance, and max combined LTV, then applies the fixed-payment loan formula to the requested loan amount. It does not pull an appraisal, choose a lender CLTV rule, include closing costs, or decide whether the loan is affordable.

Read available equity first, then combined LTV, then monthly payment. For the starter example, a $450,000 home with a $260,000 mortgage and an 85% CLTV cap leaves about $122,500 of borrowing room. A $50,000 loan at 8.25% for 10 years estimates about $613 per month before fees.

This does not approve credit, protect against foreclosure risk, include lender fees, tax rules, property value changes, or underwriting limits. Home equity borrowing is secured by the home. If payments are missed, the home can be at risk. Tax treatment can also depend on how the money is used, so check IRS rules or a tax professional before assuming interest is deductible.

Check the home value, mortgage balance, CLTV cap, loan amount, rate, term, fees, and whether the loan is fixed or adjustable. Then compare the result with a Loan Estimate or lender quote before making a real borrowing decision.

The calculator uses the CLTV cap you enter. At 85% on a $450,000 home, the debt limit is $382,500. If the current mortgage is $260,000, the rough available equity is $122,500 before lender rules and fees.

No. It estimates payment and interest on the loan amount only. Closing costs, points, appraisal fees, title fees, and recording fees can change the real cost, so compare lender documents before choosing.

Yes. A home equity loan is secured by the home. If payments are missed and the default is not fixed, the lender may have foreclosure rights under the loan documents and local law.

Do not assume it is. IRS Publication 936 says home equity loan or line interest is generally deductible only when the money is used to buy, build, or substantially improve the home securing the loan and other rules are met.

Two loans can have similar payments but different fees, APRs, terms, prepayment rules, or total interest. Payment is useful, but it should not be the only number you compare.

Compare loan amount, rate, APR, payment, fees, term, prepayment penalties, balloon-payment language, and cash needed at closing. Ask why if the lender document does not match your estimate.

No. The calculator runs in your browser tab. Recent answers stay only on the page while you use it, and they are not sent to a server.