HELOC Calculator

Calculate interest-only draw payments and fully amortized principal payments on a variable-rate Home Equity Line of Credit (HELOC).

Calculator Inputs

$
Balance drawn on credit line.
%
Current variable APR.
Interest-only borrowing phase.
Amortized repayment phase.

Calculated Results

Interest-Only Monthly Payment (Draw Phase)
$375.00 / month (10-Year Draw)
Principal + Interest (Repayment Phase) $633.20 / mo
Available Credit Line $90,000.00
Current Variable APR 9.00%
Values calculate live as you adjust inputs.

About HELOC Calculator

Models two-phase Home Equity Lines of Credit: Phase 1 (interest-only borrowing draw period) and Phase 2 (amortized principal repayment period).

What is HELOC Calculator?

Models two-phase Home Equity Lines of Credit: Phase 1 (interest-only borrowing draw period) and Phase 2 (amortized principal repayment period).

How to Use This Calculator

  1. Enter amount drawn on credit line.
  2. Enter variable interest rate.
  3. Select draw period and repayment period lengths.
  4. Review draw phase payment versus repayment phase payment.

The Mathematical Formula & Variables

Draw Phase = Balance * (r / 12); Repayment Phase = Full Amortization

Step-by-Step Worked Example

Scenario: $50,000 balance at 9.0% with 10-year draw and 20-year repayment.

  1. Draw phase payment = $50,000 * (0.09 / 12) = $375.00/month.
  2. Repayment phase payment over 20 years (240 mos) = $449.86/month.

Result: $375.00/mo draw; $449.86/mo repayment

Frequently Asked Questions

Why do HELOC payments jump after the draw period ends?

During the draw period, payments only cover interest. Once repayment begins, you must pay both interest and principal amortized over the remaining term.