Finance

Home Equity Calculator

Calculate your home equity, loan-to-value ratio, and potential borrowing power for HELOCs or home equity loans

Unlock Your Home's Financial Potential

Your home equity represents real wealth you've built over time. Our calculator helps you understand exactly how much equity you have, what you could potentially borrow against it, and what a HELOC or home equity loan payment might look like. Make informed decisions about tapping your home's value.

What is Home Equity?

Home equity is the difference between your home's current market value and what you owe on your mortgage. If your home is worth $400,000 and you owe $250,000, you have $150,000 in equity. Lenders typically allow borrowing up to 80-85% of your home's value (combined loan-to-value), minus your existing mortgage.

Home Equity Formula

Equity = Home Value - Mortgage Balance

How to Use This Calculator

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Home Equity Applications

Home Renovation Financing

Fund kitchen remodels, additions, or major repairs using your equity.

Debt Consolidation

Replace high-interest credit card debt with lower home equity rates.

Emergency Fund Access

Establish a HELOC as a financial safety net for unexpected expenses.

Frequently Asked Questions

A HELOC is a revolving credit line with variable rates—draw what you need, when you need it. A home equity loan is a lump sum with fixed payments. HELOCs offer flexibility; home equity loans offer predictability.