What LTV do lenders use for a HELOC?

Most lenders cap HELOC borrowing at 80–85% combined loan-to-value. Some credit unions go up to 90%. The lower your mortgage balance relative to your home value, the more you can access through a HELOC.

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85%Typical max LTV

620Min credit score

10yrDraw period

$0Cost to use

HELOC Calculator

Calculate your borrowing limit and monthly payment

Home Value

Mortgage Balance

Lender Max LTV

Max HELOC Amount $132,500 Available to borrow

Total Home Equity $200,000 Equity you own

Draw Amount

HELOC Rate

Credit Line Limit

Payment Type

TYPE

Monthly Payment $354 Estimated payment

Utilization 50% Of credit limit

HELOC calculator — 3 things to know before you borrow

LTV determines your limit Most lenders allow 80–85% combined LTV. On a $400,000 home with $200,000 owed, 85% LTV gives you a maximum HELOC of $140,000.

Rates are variable HELOC rates move with the prime rate. In early 2026 most rates are 8.5%–10.5%. You only pay interest on what you actually draw — not your full limit.

Two phases to plan for A 10-year draw period where you borrow freely, followed by a 20-year repayment period where you pay off the full balance.

Credit score matters Minimum 620 to qualify. Score of 700+ gets you the best rates. Use the credit score simulator to check your position.

HELOC calculator — 2026 rates and limits by lender type

Lender	Max LTV	Rate range	Min score	Draw period
Big bank	80%	8.5%–10.0%	660	10 years
Credit union	90%	7.5%–9.5%	620	10 years
Online lender	85%	8.0%–10.5%	640	10 years
Community bank	85%	8.25%–10.0%	640	5–10 years

How the HELOC calculator works

Enter your home value and mortgage balance The HELOC calculator uses these two numbers to work out your total equity. Home worth $500,000 minus $280,000 mortgage balance = $220,000 equity.

Select your lender’s LTV limit This determines how much of your equity you can actually borrow. At 85% LTV on a $500,000 home: $500,000 × 0.85 = $425,000 minus $280,000 mortgage = $145,000 maximum HELOC.

Switch to Monthly Payment to see your cost Enter how much you plan to draw and your rate. Interest only on $50,000 at 9% = $375 per month. Adding 1% principal brings it to $875 per month.

Compare lenders with your numbers in hand The CFPB recommends getting at least 3 quotes. Use your HELOC calculator results to compare offers on equal terms.

Ready to apply?

Once you know your HELOC limit, the next step is comparing real lender offers. Shopping multiple lenders typically saves $1,000–$3,000 over the life of the loan.

Compare HELOC Rates We may earn a commission if you apply through this link — at no extra cost to you.

HELOC calculator — common questions

How does a HELOC calculator work?

A HELOC calculator takes your home value, current mortgage balance, and the lender’s maximum LTV to calculate how much equity you can borrow. Most lenders allow up to 80–85% of your home’s value minus what you still owe.

What LTV do most lenders use for a HELOC?

Most lenders cap HELOC borrowing at 80–85% combined LTV. Credit unions often go up to 90%. The lower your mortgage balance relative to your home value, the more you can access.

What credit score do I need for a HELOC?

Most lenders require a minimum score of 620, though 700 or higher gets you better rates. Some set their minimum at 680. Use our credit score simulator to check where you stand.

How is HELOC interest calculated?

Interest is calculated only on what you draw, not your full credit limit. At a 9% annual rate on a $50,000 draw, your monthly interest is approximately $375.

Related tools to use with the HELOC calculator

Results from this HELOC calculator are estimates for informational purposes only. Not financial advice. Always consult a qualified lender before making borrowing decisions. Last updated: March 2026.

HELOC Calculator — Free 2026Home Equity Tool