Mortgage Calculator Lowest Interest Rate

#heloc-calc-wrapper {
font-family: -apple-system, BlinkMacSystemFont, “Segoe UI”, Roboto, Helvetica, Arial, sans-serif;
max-width: 800px;
margin: 20px auto;
padding: 25px;
border: 1px solid #e0e0e0;
border-radius: 12px;
background-color: #ffffff;
box-shadow: 0 4px 20px rgba(0,0,0,0.05);
color: #333;
}
#heloc-calc-wrapper h2 {
color: #1a237e;
text-align: center;
margin-bottom: 25px;
font-size: 28px;
}
.input-grid {
display: grid;
grid-template-columns: 1fr 1fr;
gap: 20px;
margin-bottom: 25px;
}
@media (max-width: 600px) {
.input-grid { grid-template-columns: 1fr; }
}
.input-group {
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flex-direction: column;
}
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.input-group input {
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border: 1px solid #ccc;
border-radius: 6px;
font-size: 16px;
}
.calc-button {
width: 100%;
padding: 15px;
background-color: #1a237e;
color: white;
border: none;
border-radius: 6px;
font-size: 18px;
font-weight: bold;
cursor: pointer;
transition: background-color 0.2s;
}
.calc-button:hover {
background-color: #0d1440;
}
#heloc-results {
margin-top: 30px;
padding: 20px;
background-color: #f8f9fa;
border-radius: 8px;
display: none;
}
.result-item {
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padding: 12px 0;
border-bottom: 1px solid #eee;
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.result-item:last-child { border-bottom: none; }
.result-label { font-weight: 500; }
.result-value { font-weight: 700; color: #1a237e; font-size: 18px; }
.article-section {
margin-top: 40px;
line-height: 1.6;
color: #444;
}
.article-section h3 {
color: #1a237e;
margin-top: 30px;
}
.example-box {
background-color: #e8eaf6;
padding: 20px;
border-left: 5px solid #1a237e;
margin: 20px 0;
}

HELOC Payment & Credit Limit Calculator

How to Use the HELOC Payment Calculator

A Home Equity Line of Credit (HELOC) functions like a credit card secured by your home. Unlike a standard home equity loan, which provides a lump sum, a HELOC allows you to draw funds as needed. Use this calculator to determine how much equity you can access and what your interest-only payments will look like during the draw period.

Understanding the HELOC Formula

Lenders typically allow you to borrow up to 80% or 85% of your home’s value, minus what you still owe on your primary mortgage. This is known as the Combined Loan-to-Value (CLTV) ratio.

Practical Example:
If your home is worth $400,000 and your lender allows an 80% CLTV, your total allowed debt is $320,000. If your current mortgage balance is $200,000, your available HELOC limit would be $120,000 ($320k – $200k).

Draw Period vs. Repayment Period

Most HELOCs have two distinct phases:

• The Draw Period: Typically the first 10 years. During this time, you can withdraw money, and most lenders only require interest-only payments.
• The Repayment Period: Usually the following 15 to 20 years. You can no longer withdraw money, and you must pay back both the principal and interest, which significantly increases the monthly payment.

Key Factors Affecting Your HELOC

Your interest rate is usually variable, tied to the U.S. Prime Rate plus a margin. This means your monthly payment can fluctuate even if your balance stays the same. To qualify for the best rates and highest CLTV limits, lenders typically look for a credit score of 720 or higher and a debt-to-income (DTI) ratio below 43%.

function calculateHELOC() {
var homeValue = parseFloat(document.getElementById(“homeValue”).value);
var mortgageBalance = parseFloat(document.getElementById(“mortgageBalance”).value);
var ltvLimit = parseFloat(document.getElementById(“ltvLimit”).value);
var interestRate = parseFloat(document.getElementById(“interestRate”).value);
var drawnAmount = parseFloat(document.getElementById(“drawnAmount”).value);
if (isNaN(homeValue) || isNaN(mortgageBalance) || isNaN(ltvLimit) || isNaN(interestRate) || isNaN(drawnAmount)) {
alert(“Please enter valid numeric values in all fields.”);
return;
}
// Calculate Max Debt Allowed
var maxDebt = homeValue * (ltvLimit / 100);
// Calculate HELOC Credit Limit
var creditLimit = maxDebt – mortgageBalance;
if (creditLimit < 0) creditLimit = 0;
// Calculate Monthly Interest Only Payment
// Formula: (Balance * Rate) / 12 months
var monthlyPayment = (drawnAmount * (interestRate / 100)) / 12;
// Calculate CLTV
var totalDebt = mortgageBalance + drawnAmount;
var cltv = (totalDebt / homeValue) * 100;
// Formatting
var formatter = new Intl.NumberFormat('en-US', {
style: 'currency',
currency: 'USD',
});
document.getElementById("resMaxDebt").innerText = formatter.format(maxDebt);
document.getElementById("resCreditLimit").innerText = formatter.format(creditLimit);
document.getElementById("resMonthlyPayment").innerText = formatter.format(monthlyPayment);
document.getElementById("resCLTV").innerText = cltv.toFixed(2) + "%";
// Show results
document.getElementById("heloc-results").style.display = "block";
}