HELOC Calculator
A HELOC calculator (Home Equity Line of Credit) estimates payments on a revolving credit line secured by your home equity. HELOCs have a draw period (typically 10 years) followed by a repayment period.
HELOC vs Home Equity Loan
| Feature | HELOC | Home Equity Loan | TypeRevolving creditLump sum RateVariableFixed Draw PeriodYes (5-10 years)No Best ForOngoing expensesOne-time need InterestOnly on used amountOn full amount
HELOC Payment Examples
$50,000 credit line at 8% variable rate:
Amount UsedInterest-Only (Draw)Full Repayment (15yr) $10,000$67/month$96/month $25,000$167/month$239/month | $50,000 | $333/month | $478/month |
HELOC Calculator Implementation
``javascript
function calculateHELOC(amountUsed, rate, drawPeriodYears, repaymentYears) {
const monthlyRate = rate / 100 / 12;
// Interest-only payment during draw period
const interestOnly = amountUsed * monthlyRate;
// Full repayment after draw period
const repaymentMonths = repaymentYears * 12;
const fullPayment = amountUsed * monthlyRate / (1 - Math.pow(1 + monthlyRate, -repaymentMonths));
return {
interestOnlyPayment: interestOnly.toFixed(2),
fullPayment: fullPayment.toFixed(2),
totalInterestOnly: (interestOnly * drawPeriodYears * 12).toFixed(2),
totalFullRepayment: ((fullPayment * repaymentMonths) - amountUsed).toFixed(2)
};
}
console.log(calculateHELOC(50000, 8, 10, 15));
// { interestOnlyPayment: '333.33', fullPayment: '477.83' }
``
HELOC Considerations
HELOCs have variable rates that can increase significantly. Your home is collateral—defaulting means foreclosure. Use HELOCs for value-adding projects (renovations) rather than consumption (vacations).