Home Equity Loan Calculator
Calculate your Combined Loan-to-Value (CLTV) ratio and fixed monthly payment for a home equity loan.
Calculator Inputs
Sets the currency this calculator's numbers are denominated in. This is presentation only — it does NOT convert your numbers between currencies, it only changes how they're formatted.
Your home's current estimated market value.
The current payoff balance on your existing first mortgage. Enter 0 if paid off.
The amount you want to borrow against your home's equity.
The home equity loan's fixed annual interest rate.
Add 0-11 extra months to the term selected above, for a more precise payment.
The highest combined loan-to-value you want to test, e.g. 80, 85 or 90. Lenders set their own limits; this is not a lender rule.
- Monthly Payment
- $606.64
- Combined Loan-to-Value (CLTV)
- 62.5%
- Total Interest
- $22,796.36
- Total Repayment
- $72,796.36
- Available Borrowing at Your Maximum CLTV
- $120,000.00
- How Available Borrowing Is Calculated
- Home value × 80% maximum CLTV, minus your mortgage balance. The 80% cap is your own assumption, not a lender rule.
About these results
CalcSpectrum calculators produce automated estimates using established formulas and the specific values you enter. Because real-world outcomes depend on input accuracy, mathematical assumptions, and rounding conventions, please verify critical figures with an appropriately qualified financial, tax, medical, legal, or other professional, as relevant.
Financial Notice: These figures are informational estimates for personal planning only. They do not constitute financial, investment, tax, or legal advice, nor do they represent a lending offer or credit approval. Provider and financial institution figures, rates, fees, and underwriting requirements may differ.
How It's Calculated
Formula
A home equity loan is a second, fixed-rate loan secured by your home's equity, paid back on a standard amortization schedule — the exact same payment formula used by the Mortgage and Loan calculators, applied to the equity loan amount alone. Combined Loan-to-Value (CLTV) measures how much total debt (your existing first mortgage plus the new equity loan) is secured against your home's current value: a higher CLTV means less equity cushion remains. The monthly payment, total interest, and total repayment figures come directly from the shared amortization engine — this calculator does no loan-payment math of its own.
Worked Examples
$400,000 home, $200,000 mortgage balance, $50,000 equity loan, 8%, 10-year term
- CLTV: (200,000 + 50,000) / 400,000 × 100 = 62.5%
- Monthly rate: 8% / 12 = 0.6667%
- Monthly payment (120 payments): ≈ $606.64
- Total repayment: $72,796.36; total interest: $22,796.36, from the amortization schedule (not 606.64 × 120 = $72,796.80 — the last payment is adjusted so the balance ends at exactly $0.00)
Paid-off home: $300,000 home value, $0 mortgage balance, $30,000 equity loan
- CLTV: (0 + 30,000) / 300,000 × 100 = 10%
- With no existing mortgage, the equity loan alone determines the CLTV — a low figure like this generally leaves substantial equity remaining.
Frequently Asked Questions
What does CLTV tell me?
CLTV shows what percentage of your home's value is claimed by ALL secured debt against it (your existing mortgage plus the new equity loan), unlike LTV which only looks at one loan. Lenders commonly reference CLTV when evaluating home equity applications, though actual approval thresholds vary by lender and are not modeled by this calculator.
Is a home equity loan the same as a HELOC?
No. A home equity loan (calculated here) disburses a fixed lump sum upfront with a fixed rate and a standard fixed monthly payment, like a second mortgage. A HELOC (Home Equity Line of Credit) instead works like a revolving credit line with a draw period and often a variable rate — a different product with different payment mechanics.
Does this calculator check if I qualify for this CLTV?
No — it only calculates what your CLTV and payment WOULD be for the numbers you enter. Actual home equity loan approval depends on credit, income, the specific lender's maximum CLTV policy, and other underwriting factors outside this calculator's scope.
What if my remaining mortgage balance is $0?
That's a valid input for a home that's fully paid off — CLTV in that case is based on the new equity loan alone against the full home value.