Auto Finance Calculator with Credit Score

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HELOC Calculator

Estimate your available Home Equity Line of Credit

70% 75% 80% (Standard) 85% 90%
Estimated Available HELOC Amount
$0.00
Please ensure all fields are filled with valid numbers.

How to Use the HELOC Calculator

A Home Equity Line of Credit (HELOC) allows you to borrow against the value of your home. This calculator helps you determine how much credit you might qualify for based on your home's current market value and your existing mortgage debt.

Understanding the Calculation

Lenders typically use a Combined Loan-to-Value (CLTV) ratio to determine your borrowing power. Most lenders limit the total debt on a home (your current mortgage + the new HELOC) to 80% or 85% of the home's appraised value.

The HELOC Formula:
(Home Value × Max LTV %) - Current Mortgage Balance = Available HELOC Amount

A Practical Example

Let's say your home is worth $500,000 and you still owe $300,000 on your primary mortgage. If your bank allows a maximum CLTV of 80%:

  • Maximum total debt allowed: $500,000 × 0.80 = $400,000
  • Subtract your current mortgage: $400,000 – $300,000 = $100,000
  • Your estimated HELOC limit: $100,000

Key Factors for Approval

While equity is the primary factor, lenders also consider:

  • Credit Score: A higher score (usually 700+) typically secures lower interest rates.
  • Debt-to-Income (DTI) Ratio: Your monthly debt payments compared to your gross monthly income.
  • Appraisal: A professional appraisal will be required to verify the home value used in the final calculation.
function calculateHeloc() { var homeValue = parseFloat(document.getElementById('homeValue').value); var mortgageBalance = parseFloat(document.getElementById('mortgageBalance').value); var ltvPercentage = parseFloat(document.getElementById('ltvLimit').value); var resultContainer = document.getElementById('heloc-result-container'); var errorContainer = document.getElementById('heloc-error'); var amountDisplay = document.getElementById('heloc-amount'); var detailsDisplay = document.getElementById('heloc-details'); // Reset displays resultContainer.style.display = 'none'; errorContainer.style.display = 'none'; // Validation if (isNaN(homeValue) || isNaN(mortgageBalance) || homeValue <= 0) { errorContainer.style.display = 'block'; errorContainer.innerHTML = 'Please enter valid numbers for home value and mortgage balance.'; return; } if (mortgageBalance < 0) { errorContainer.style.display = 'block'; errorContainer.innerHTML = 'Mortgage balance cannot be negative.'; return; } // Calculation logic var maxTotalLoan = homeValue * (ltvPercentage / 100); var availableEquity = maxTotalLoan – mortgageBalance; // Formatting var formatter = new Intl.NumberFormat('en-US', { style: 'currency', currency: 'USD', minimumFractionDigits: 0, maximumFractionDigits: 0, }); if (availableEquity <= 0) { amountDisplay.innerText = "$0"; amountDisplay.style.color = "#c53030"; detailsDisplay.innerHTML = "Based on an " + ltvPercentage + "% LTV limit, you do not currently have enough equity to open a HELOC. Your total debt exceeds " + ltvPercentage + "% of the home's value."; } else { amountDisplay.innerText = formatter.format(availableEquity); amountDisplay.style.color = "#2d3748"; detailsDisplay.innerHTML = "Total Max Borrowing Power (" + ltvPercentage + "% of " + formatter.format(homeValue) + "): " + formatter.format(maxTotalLoan) + "Minus Current Mortgage: " + formatter.format(mortgageBalance); } resultContainer.style.display = 'block'; }

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