HELOC / Home Equity Calculator
Estimate home equity and a simplified borrowing-capacity figure from the home value, existing mortgage balance, and assumed maximum combined loan-to-value (LTV) you enter. Educational estimate only — not a lender quote or approval decision.
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How this calculation works
Estimated home equity = home value − mortgage balance. Equity may be negative if the mortgage exceeds home value; that result is shown as calculated and is not forced to zero.
Assumed maximum secured debt = home value × (maximum LTV ÷ 100). Estimated available borrowing capacity = that maximum secured debt minus the mortgage balance, clamped at zero when negative. Current LTV = mortgage balance ÷ home value.
Assumptions
- Maximum combined LTV is an assumption you supply — not a universal lender rule.
- Only the mortgage balance you enter is subtracted; include other liens in that figure if you want them counted.
- No HELOC interest rates, fees, credit-score pricing, or approval rules are invented.
Limitations
- Does not check lender eligibility, property type, income, or credit requirements.
- Does not invent draw schedules, payment options, or market HELOC quotes.
- Actual combined LTV and available credit may differ from this simplified estimate.
Frequently asked questions
- Is this my approved HELOC amount?
- No. It is a capacity estimate from the numbers and LTV assumption you enter. Lenders apply their own underwriting rules.
- Why can equity be negative?
- If the mortgage balance is larger than the home value you entered, equity is shown as negative rather than hidden. Capacity is still clamped at zero when the LTV formula would be negative.
Related calculators
Related reading
- How HELOC borrowing capacity is estimated — Equity, assumed maximum LTV, and simplified capacity math.
- How mortgage refinance savings are calculated
- Methodology