.heloc-calc-container {
font-family: -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, Helvetica, Arial, sans-serif;
max-width: 800px;
margin: 20px auto;
padding: 25px;
border: 1px solid #e1e1e1;
border-radius: 8px;
background-color: #ffffff;
box-shadow: 0 4px 6px rgba(0,0,0,0.05);
}
.heloc-calc-header {
text-align: center;
margin-bottom: 25px;
}
.heloc-calc-header h2 {
color: #2c3e50;
margin-bottom: 10px;
}
.heloc-calc-grid {
display: grid;
grid-template-columns: 1fr 1fr;
gap: 20px;
margin-bottom: 25px;
}
@media (max-width: 600px) {
.heloc-calc-grid { grid-template-columns: 1fr; }
}
.heloc-input-group {
display: flex;
flex-direction: column;
}
.heloc-input-group label {
font-weight: 600;
margin-bottom: 8px;
color: #34495e;
}
.heloc-input-group input {
padding: 12px;
border: 1px solid #ccd1d9;
border-radius: 4px;
font-size: 16px;
}
.heloc-calc-btn {
grid-column: 1 / -1;
background-color: #27ae60;
color: white;
padding: 15px;
border: none;
border-radius: 4px;
font-size: 18px;
font-weight: bold;
cursor: pointer;
transition: background-color 0.3s;
}
.heloc-calc-btn:hover {
background-color: #219150;
}
.heloc-result-box {
background-color: #f8f9fa;
padding: 20px;
border-radius: 6px;
border-left: 5px solid #27ae60;
margin-top: 20px;
display: none;
}
.heloc-result-item {
display: flex;
justify-content: space-between;
margin-bottom: 10px;
font-size: 18px;
}
.heloc-result-value {
font-weight: bold;
color: #2c3e50;
}
.heloc-article {
margin-top: 40px;
line-height: 1.6;
color: #333;
}
.heloc-article h3 {
color: #2c3e50;
border-bottom: 2px solid #eee;
padding-bottom: 10px;
margin-top: 30px;
}
.heloc-error {
color: #e74c3c;
font-size: 14px;
margin-top: 5px;
display: none;
}
Estimated Home Value ($)
Current Mortgage Balance ($)
LTV Limit (%)
Estimated Credit Score
Calculate Available Credit
Please enter valid positive numbers for all fields.
Total Maximum Debt Allowed:
$0.00
Available Equity:
$0.00
Estimated HELOC Limit:
$0.00
What is a HELOC?
A Home Equity Line of Credit (HELOC) is a revolving line of credit that allows homeowners to borrow against the equity in their property. Unlike a standard home equity loan, which provides a lump sum, a HELOC functions more like a credit card with your home serving as collateral. You can withdraw funds as needed, pay them back, and withdraw them again during the "draw period."
How is Your HELOC Limit Calculated?
Lenders determine your credit limit based on a few critical factors. The most important is the Combined Loan-to-Value (CLTV) ratio. Most lenders allow a CLTV of 80% to 90%. This means the sum of your primary mortgage and your HELOC cannot exceed that percentage of your home's current appraised value.
The Formula: (Home Value × LTV Limit) – Current Mortgage Balance = HELOC Limit
Calculation Example
Imagine your home is currently valued at $450,000 . You still owe $250,000 on your first mortgage. Your lender offers a HELOC with a maximum 85% CLTV .
Step 1: Calculate maximum allowed debt: $450,000 × 0.85 = $382,500.Step 2: Subtract existing mortgage: $382,500 – $250,000 = $132,500.Result: Your estimated HELOC limit is $132,500 .
Key Factors Influencing Your HELOC Approval
Credit Score: A higher credit score (typically 700+) secures lower interest rates and higher LTV limits.Debt-to-Income (DTI) Ratio: Lenders prefer a DTI below 43% to ensure you can manage the monthly payments.Verifiable Income: You must demonstrate stable income to support the repayment of the line of credit.Appraised Value: Professional appraisals are required to confirm the current market value of the home before final approval.
function calculateHELOC() {
var homeValue = parseFloat(document.getElementById('homeValue').value);
var mortgageBalance = parseFloat(document.getElementById('mortgageBalance').value);
var ltvLimit = parseFloat(document.getElementById('ltvLimit').value);
var errorDiv = document.getElementById('helocError');
var resultDiv = document.getElementById('helocResult');
// Reset visibility
errorDiv.style.display = 'none';
resultDiv.style.display = 'none';
// Validation
if (isNaN(homeValue) || isNaN(mortgageBalance) || isNaN(ltvLimit) || homeValue <= 0 || ltvLimit 100) {
ltvLimit = 100;
}
// Calculation Logic
var maxDebtAllowed = homeValue * (ltvLimit / 100);
var availableHELOC = maxDebtAllowed – mortgageBalance;
// Safety check: cannot have a negative credit line
if (availableHELOC < 0) {
availableHELOC = 0;
}
var availableEquity = homeValue – mortgageBalance;
if (availableEquity < 0) availableEquity = 0;
// Format Currency
var formatter = new Intl.NumberFormat('en-US', {
style: 'currency',
currency: 'USD',
});
// Display Results
document.getElementById('maxDebtResult').innerText = formatter.format(maxDebtAllowed);
document.getElementById('availableEquityResult').innerText = formatter.format(availableEquity);
document.getElementById('finalHelocLimit').innerText = formatter.format(availableHELOC);
resultDiv.style.display = 'block';
}