HELOC Edge

Calculate Your Home Equity Potential

A Home Equity Line of Credit (HELOC) lets you borrow against the value of your home. Use our interactive tool below to estimate your payments during both the interest-only draw period and the full repayment period.

How to Use This HELOC Calculator

Step 1: Enter Your Balance

Input the total amount you plan to draw from your home equity line of credit, not your total home value.

Step 2: Add Current APR

Input the estimated annual interest rate. Note that most HELOC rates are variable and fluctuate over time.

Step 3: Analyze Both Phases

Compare your low, interest-only payments during the Draw Period against the fully amortized payments during Repayment.

HELOC Calculator Inputs

Estimated HELOC Balance ($)

Annual Interest Rate (APR %)

Draw Period Length (Years)

Repayment Period Length (Years)

Estimated Payments

Draw Period Payment (Interest-Only): $0.00

Repayment Period Payment (Principal + Interest): $0.00

*Calculations are estimates. Actual HELOCs often feature variable interest rates that can change over time.

How Does a HELOC Work?

A HELOC functions like a revolving credit card backed by the equity in your home. Unlike a standard home equity loan, you don't receive a lump sum all at once. Instead, you are approved for a specific credit limit and can draw funds as needed during the **Draw Period**.

The Two Critical Phases of a HELOC

The Draw Period: Usually lasting 10 years, you can withdraw money whenever you like. Most lenders only require you to make interest-only payments during this time, keeping your monthly expenses exceptionally low.
The Repayment Period: Typically lasting 15 to 20 years, your line of credit is locked—meaning you can no longer withdraw money. You must now pay back both the principal amount borrowed and the interest, which will cause your monthly payments to rise significantly.