Home Equity Loan Calculator
Estimate the monthly payment, total interest and total repayment of a home equity loan (HEL) or interest-only HELOC.
Input Data
Results
Outstanding balance
At a glance:A Home Equity Loan (HEL) borrows a lump sum against your property's equity and amortises it; a HELOC is usually a revolving line of credit where you pay interest only during the draw period. This calculator estimates monthly payment, total interest and total repayment for both.
Formula
r = annual ÷ 100 ÷ 12; n = years × 12.
Fixed monthly = loan × r × (1+r)^n ÷ ((1+r)^n − 1).
Interest-only monthly = loan × r; principal repaid at end.
Total interest = monthly × n − loan (fixed); IO total interest = IO monthly × n.
How to Use
- Enter the loan amount borrowed against your equity.
- Choose the mode: fixed amortising (HEL) or interest-only (HELOC).
- Set the annual rate and term to see monthly payment, total interest and total repayment.
FAQ
Which is better, fixed HEL or interest-only HELOC?
A fixed HEL has predictable payments and is fully repaid by maturity with lower total interest; an interest-only HELOC eases cash flow during the draw period but the principal is never reduced and is due in full at the end (or on refinance), and payments rise if rates rise. Interest-only suits short-term needs; fixed amortising is usually steadier for long-term borrowing.
What is the risk of a home equity loan?
It is secured by your property — failure to repay risks foreclosure. The interest-only mode's lump-sum principal at maturity needs a clear repayment plan (refinance, sale, or savings).
How accurate is this?
Fixed-rate, on-time payment model; excludes fees, prepayment penalties and HELOC draw flexibility. Actual figures per your lender.
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References
Content review: Calculatorism Finance Team. Results are for reference only; actual terms per your lender.