Citizens Bank HELOC Estimator
Calculate your potential Home Equity Line of Credit amount
Estimated Credit Line Available
Understanding the Citizens Bank HELOC Calculation
A Citizens Bank Home Equity Line of Credit (HELOC) allows you to borrow against the equity you have built in your home. Unlike a traditional home equity loan, a HELOC works more like a credit card where you have a revolving balance that you can draw from as needed during the initial draw period.
The calculation is based primarily on your Combined Loan-to-Value (CLTV) ratio. Citizens Bank typically looks at the total amount of debt secured by your home (including your primary mortgage and the new requested line) relative to the appraised value of the property.
How Citizens Bank Determines Your Limit
| Factor | Typical Requirement |
|---|---|
| Maximum CLTV | Up to 80% (varies by state and credit profile) |
| Minimum Line Amount | $5,000 |
| Maximum Line Amount | Up to $1,000,000 |
| Minimum Credit Score | Typically 680+ for best terms |
Real-World Example
Imagine your primary residence is currently valued at $500,000 and you still owe $250,000 on your first mortgage. If you qualify for an 80% CLTV through Citizens Bank, the calculation would be:
- 80% of $500,000 = $400,000 (Maximum total borrowing allowed)
- $400,000 – $250,000 (Existing Mortgage) = $150,000
In this scenario, your potential HELOC limit would be $150,000.
Key Features of a Citizens Bank HELOC
Citizens Bank often provides unique features such as the "GoalBuilder" option for smaller lines or the ability to lock in fixed rates on portions of your balance. Remember that the interest rates are variable and tied to the Prime Rate, meaning your monthly payments can fluctuate during the repayment period.