Home Equity Calculator (USA)
See exactly how much equity you have built, your loan-to-value (LTV), and how much you could tap with a HELOC or home equity loan. Includes appreciation since purchase, combined LTV, and your borrowing power at any lender cap.
| CLTV cap | Max borrowing | Existing liens | Available | Equity remaining |
|---|---|---|---|---|
| Calculate to see borrowing power | ||||
How to use the home equity calculator
Four quick steps turn your home value and mortgage balance into a full equity picture — total equity, loan-to-value, how much you could actually borrow, and what the home has gained since you bought it.
Enter your home
Current value, what you paid for it, and how long you’ve owned it.
Add what you owe
Primary mortgage balance plus any second mortgage or HELOC.
Set the lender cap
Your lender’s combined LTV limit, and an amount you’d like to borrow.
Read results & save a PDF
See equity, CLTV, borrowing power at every cap, then download it.
How the numbers are calculated
The calculator starts with your home’s value, subtracts every lien against it to find equity, then applies your lender’s combined LTV cap to work out how much of that equity you can actually reach. Here is the exact chain of math.
Worked example — $500,000 home, $285,000 mortgage, 80% lender cap
Home equity: 500,000 − 285,000 = 215,000 — that’s 43.0% equity, 57.0% CLTV
Max total borrowing (80%): 0.80 × 500,000 = 400,000
Available to borrow: 400,000 − 285,000 = 115,000
Locked equity: 215,000 − 115,000 = 100,000
$215,000 of equity, but only $115,000 you can tap — the 80% cap leaves $100,000 sitting in the house no matter what.
Home equity & borrowing charts
Handy lookups for the questions people ask most — how much equity you hold, how much a lender will let you borrow, what your CLTV signals, and how appreciation compounds. Ranges are general guidance; lenders and markets vary.
| Home value | $150k owed | $200k owed | $285k owed | $350k owed |
|---|---|---|---|---|
| $300,000 | $150,000 | $100,000 | $15,000 | −$50,000 |
| $400,000 | $250,000 | $200,000 | $115,000 | $50,000 |
| $500,000 | $350,000 | $300,000 | $215,000 | $150,000 |
| $650,000 | $500,000 | $450,000 | $365,000 | $300,000 |
Equity = value − everything owed. The red cell is negative equity: a $300,000 home with $350,000 owed is $50,000 underwater, which closes off most borrowing and refinancing options.
| Home value | 70% cap | 80% cap | 85% cap | 90% cap |
|---|---|---|---|---|
| $300,000 | $210,000 | $240,000 | $255,000 | $270,000 |
| $400,000 | $280,000 | $320,000 | $340,000 | $360,000 |
| $500,000 | $350,000 | $400,000 | $425,000 | $450,000 |
| $650,000 | $455,000 | $520,000 | $552,500 | $585,000 |
This is the ceiling on all loans against the home combined, not on the new one. Subtract what you already owe to find what’s left available.
| CLTV cap | Max borrowing | Existing liens | Available | Equity remaining |
|---|---|---|---|---|
| 70% | $350,000 | $285,000 | $65,000 | $150,000 |
| 75% | $375,000 | $285,000 | $90,000 | $125,000 |
| 80% | $400,000 | $285,000 | $115,000 | $100,000 |
| 85% | $425,000 | $285,000 | $140,000 | $75,000 |
| 90% | $450,000 | $285,000 | $165,000 | $50,000 |
Every five points of cap frees up another $25,000 on this home — and takes $25,000 out of the cushion left in the property. Higher-cap programs usually price higher for exactly that reason.
| CLTV | General read | Note |
|---|---|---|
| Under 60% | Deep equity position | Best pricing, most options |
| 60 – 80% | Comfortable | Standard HELOC territory |
| 80 – 85% | Near the common ceiling | Where most caps sit |
| 85 – 90% | High-CLTV programs | Fewer lenders, higher rates |
| Over 100% | Underwater | Borrowing generally closed off |
CLTV counts every loan secured by the home. Dropping below 80% LTV on the first mortgage is also the point where PMI typically comes off a conforming loan.
| Total appreciation | 3 years | 5 years | 6 years | 10 years |
|---|---|---|---|---|
| +10% | 3.2% | 1.9% | 1.6% | 1.0% |
| +20% | 6.3% | 3.7% | 3.1% | 1.8% |
| +32% | 9.7% | 5.7% | 4.7% | 2.8% |
| +50% | 14.5% | 8.4% | 7.0% | 4.1% |
Annualized growth compounds, so a headline gain looks very different depending on how long it took. A home bought at $380,000 now worth $500,000 gained 32% — but over six years that’s 4.7% a year.
is worth
the home
you own
Equity is one subtraction: home value minus everything owed against it. But only part of that equity is reachable — a lender’s CLTV cap keeps a fixed share of the value in the property, and that share is locked whatever your balance.
- Home value — today’s market price, supported by recent comparable sales.
- Total liens — first mortgage plus any second, home equity loan, or HELOC.
- Tappable equity — what’s left under the cap after existing debt, not the full amount.
Everything the calculator works out
A handful of inputs give you the full equity picture — what you own, what you can borrow, and how you got here.
Key figures behind the analysis
Built for any equity question
Whether you’re borrowing against the house, selling it, or refinancing, the same calculator turns value and balances into the numbers a lender will look at.
Funding a renovation or consolidating debt, and needs to know what a lender will actually approve against the house.
- Test an amount against the cap
- Compare caps from 70% to 90%
- Watch CLTV after borrowing
Working out what would actually be left after the mortgage is paid off, as a starting point for the next purchase.
- Start from equity, not value
- Subtract selling costs separately
- Check the gain since purchase
Checking whether the loan-to-value has fallen far enough to drop PMI or qualify for better pricing.
- Track LTV toward 80%
- See what a cash-out would leave
- Re-run when values move
7 tips for reading your home equity
A few habits keep your equity number honest and your expectations realistic.
Home equity calculator FAQ
The definition, borrowing, and loan-to-value questions people ask most about home equity, HELOCs, and CLTV.
Home equity is the current market value of your home minus everything you owe against it — the primary mortgage plus any second mortgage, home equity loan, or drawn HELOC balance.
A home worth $500,000 with a $285,000 mortgage and no second lien has $215,000 of equity, or 43% of the home’s value. The number moves whenever the value changes or you pay down principal.
Total equity is value minus what you owe. Tappable equity is the part a lender will let you borrow against — because lenders cap total debt at a share of the home’s value rather than lending against every dollar of equity.
At an 80% cap on a $500,000 home, total debt can reach $400,000. With $285,000 already owed, that leaves $115,000 available even though total equity is $215,000. The other $100,000 stays in the house.
Most home equity lenders want your combined loan-to-value at or below 80 to 85 percent after the new line, which means keeping at least 15 to 20 percent of the home’s value as untouched equity. Some programs stretch to 90% for strong credit profiles, usually at a higher rate.
Equity is only one test. Lenders also weigh credit score, income, and debt-to-income before setting the line amount, so clearing the CLTV bar doesn’t guarantee approval.
Combined loan-to-value is every loan secured by the home, added together and divided by the home’s value. Plain LTV counts only the first mortgage; CLTV counts the first plus second mortgages, home equity loans, and HELOCs.
A $285,000 first mortgage and a $40,000 HELOC on a $500,000 home is 65% CLTV. It’s the ratio that governs how much more you can borrow.
Almost never. A CLTV cap leaves a cushion in the property, so a slice of your equity is not borrowable by design. At an 80% cap, 20% of the home’s value stays untouched no matter how much equity you hold — and that locked slice is set by the cap, not by your balance.
The cushion protects the lender if values fall, since a foreclosure sale rarely recovers full market value.
Two forces build equity: paying down the balance and the home rising in value. Paydown is the reliable one, and it accelerates over the life of an amortising loan or with extra principal payments. Appreciation is outside your control and can reverse.
Renovations can add value, but rarely dollar for dollar — treat a remodel as a lifestyle decision with a partial financial return rather than a way to manufacture equity.
Being underwater — having negative equity — means you owe more on the home than it is currently worth. A $300,000 home with a $350,000 mortgage is $50,000 underwater.
Selling would mean bringing cash to closing to clear the loan, and refinancing or borrowing against the home is generally off the table until values recover or the balance is paid down far enough.
Home value is what the property would sell for. Equity is the share of that value you actually own once the debt is cleared. Two identically priced homes can hold very different equity depending on the balances against them.
Equity also isn’t cash in hand: selling costs such as agent commissions and transfer taxes come out of the proceeds before anything reaches you.
General Estimating Notice: This calculator estimates home equity, loan-to-value, combined loan-to-value, borrowing power, and appreciation from the values you enter. Available borrowing depends on your lender’s CLTV cap as well as credit, income, and underwriting, and home values, caps, and terms vary by market and lender. Figures are illustrations, not a valuation, appraisal, loan commitment, or financial, tax, or investment advice. Verify your home’s value and any borrowing terms with licensed professionals before making a decision. For planning purposes only.