HELOC Calculator

Estimate the draw-period and repayment-period payments on a home equity line of credit — or how much you could qualify to borrow.

HELOC Payment Calculator

A HELOC has two phases: interest-only payments during the draw period, then full principal-and-interest payments during repayment.

How Much Can You Borrow?

Estimate your maximum HELOC line from your home's value, your remaining mortgage, and a lender's loan-to-value limit.

Why the payment jumps at the end of the draw period

During the draw period, a HELOC usually only requires interest — the balance doesn't move, so the payment stays small and flat as long as you don't draw more. Once the repayment period starts, that same balance suddenly has to be paid off in full within a much shorter window than a typical mortgage, which is why the payment jumps noticeably the moment the draw period ends. Borrowers who only ever make the minimum interest-only payment can be caught off guard by how much larger the repayment-period payment turns out to be.

A credit line, not a lump sum

Unlike a home equity loan, a HELOC doesn't hand you the full amount at closing — it opens a credit line you draw against as needed, up to the approved limit, similar to a credit card secured by your home. This calculator assumes the full line is drawn immediately and held flat through the draw period, which is the worst-case (maximum interest) scenario — drawing less, or paying down principal early, would reduce the real interest cost below what's shown here.

HELOC rates are usually variable, tied to a benchmark that can move over the life of the loan. This calculator assumes a fixed rate for simplicity — a real HELOC's payments can rise or fall as the underlying rate changes.

Common questions

Can I pay down principal during the draw period?

Yes, and it's usually a good idea if you can — any principal paid down during the draw period reduces both the ongoing interest charge and the balance you'll need to repay once the repayment period begins.

What happens if I don't draw the full amount?

You only owe interest on what you've actually drawn, not the full credit limit — this calculator models drawing the entire line immediately, which represents the maximum possible cost.

Is the annual fee charged during the repayment period too?

Typically no — annual or maintenance fees usually apply only while the credit line is active during the draw period, which is how this calculator treats it.

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