HELOC Calculator
Calculate your Home Equity Line of Credit payments for both the draw period (interest-only) and repayment period (principal + interest). Includes payment shock analysis and variable rate scenarios.
HELOC Details
Draw & repayment inputs
CREDIT LINE
$25,000 remaining in credit line
DRAW PERIOD
REPAYMENT PERIOD
RATE SCENARIOS
For “what-if” analysis of the repayment payment
Draw Period Payment
$563
Interest-only
- Draw period
- 10 yrs total
- Time remaining
- 10 yrs left
- Interest rate
- 9.0% APR
Repayment Period Payment
$675
Full P&I
- Repay period
- 20 yrs
- Total repay interest
- $86,951
- Total interest
- $154,451
Payment Shock: +20% increase. Your payment will jump from $563/mo to $675/mo when the draw period ends in 10 yrs. Plan ahead or make extra principal payments now.
HELOC Lifetime Timeline
Amount Drawn
$75,000
Avail. Credit
$25,000
Draw Int. (Total)
$67,500
Repay Int. (Total)
$86,951
All Interest
$154,451
Total Cost
$229,451
Variable Rate Scenarios (Repayment Payment)
Current Rate
9.0%
$675/mo
Rate +1%
10.00%
$724/mo
Rate +2%
11.00%
$774/mo
Monthly Payment Over Time
Payment Schedule
| Year | Phase | Payment | Principal | Interest | Balance |
|---|---|---|---|---|---|
| Year 1 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 2 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 3 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 4 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 5 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 6 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 7 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 8 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 9 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 10 | DRAW | $6,750 | $0 | $6,750 | $75,000 |
| Year 11 | REPAY | $8,098 | $1,405 | $6,693 | $73,595 |
| Year 12 | REPAY | $8,098 | $1,536 | $6,561 | $72,059 |
| Year 13 | REPAY | $8,098 | $1,680 | $6,417 | $70,379 |
| Year 14 | REPAY | $8,098 | $1,838 | $6,259 | $68,541 |
| Year 15 | REPAY | $8,098 | $2,010 | $6,087 | $66,530 |
| Year 16 | REPAY | $8,098 | $2,199 | $5,898 | $64,331 |
| Year 17 | REPAY | $8,098 | $2,405 | $5,692 | $61,926 |
| Year 18 | REPAY | $8,098 | $2,631 | $5,467 | $59,295 |
| Year 19 | REPAY | $8,098 | $2,878 | $5,220 | $56,417 |
| Year 20 | REPAY | $8,098 | $3,148 | $4,950 | $53,269 |
| Year 21 | REPAY | $8,098 | $3,443 | $4,655 | $49,826 |
| Year 22 | REPAY | $8,098 | $3,766 | $4,332 | $46,060 |
| Year 23 | REPAY | $8,098 | $4,119 | $3,978 | $41,941 |
| Year 24 | REPAY | $8,098 | $4,506 | $3,592 | $37,435 |
| Year 25 | REPAY | $8,098 | $4,928 | $3,169 | $32,507 |
| Year 26 | REPAY | $8,098 | $5,391 | $2,707 | $27,116 |
| Year 27 | REPAY | $8,098 | $5,896 | $2,201 | $21,220 |
| Year 28 | REPAY | $8,098 | $6,449 | $1,648 | $14,771 |
| Year 29 | REPAY | $8,098 | $7,054 | $1,043 | $7,716 |
| Year 30 | REPAY | $8,098 | $7,716 | $381 | $0 |
How a HELOC Works — Draw Period vs Repayment Period
A HELOC (Home Equity Line of Credit) is a revolving credit line secured by your home’s equity. Unlike a home equity loan that hands you a lump sum up front, a HELOC lets you borrow as needed, up to your credit limit, during the draw period — and the two phases of a HELOC have fundamentally different payment structures, which is exactly what this calculator is built to compare. If a fixed-rate lump sum suits you better, see our Home Equity Loan Calculator instead.
The Two Phases Explained
Draw Period (5–10 years typical)
While the line is open, most lenders only require interest on whatever you’ve actually drawn — the principal balance doesn’t shrink unless you choose to pay extra.
Example: $75,000 drawn at 9% → $75,000 × 0.0075 = $562.50/mo.
Repayment Period (10–20 years typical)
Once the draw period closes, the balance is amortized like a standard loan — every payment now includes principal, so the payment jumps even if the rate never moves.
Same $75,000 at 9% over 20 years → $674.79/mo, a jump of roughly 20%.
Understanding Payment Shock
Payment shock is the sudden increase in your required monthly payment the moment a HELOC rolls from interest-only into full amortization. Even with a flat rate, the payment can jump 50–200% because you’re now repaying principal over a shorter remaining window than the original interest-only math implied. It’s the same underlying mechanic that makes an interest-only mortgage feel deceptively cheap early on — see our Mortgage Calculator for a fully amortizing comparison.
HELOC Variable Rates — How Rate Changes Affect You
Most HELOCs carry a variable rate pegged to a benchmark such as the Prime Rate or SOFR plus a lender margin. When that benchmark moves, both your draw-period and repayment-period payments move with it — most lines also carry a lifetime cap and sometimes a periodic cap limiting how fast the rate can climb. The rate-scenario buttons above let you stress-test what a 1-point or 2-point rise would do to your repayment payment before it happens. If a predictable, fixed-rate payment matters more to you than flexibility, our Loan Calculator models fixed-rate alternatives.
Best Uses for a HELOC
Phased Renovations
Draw funds as each phase completes — kitchen first, then bathrooms — rather than borrowing the full amount up front.
Tuition Payments
Draw once per semester as bills come due, keeping interest-only payments low while a student finishes school.
Emergency Reserve
Keep a HELOC open as a backup fund — you only pay interest on what you actually use, and draw only if you need it.
Business Cash Flow
Self-employed borrowers can use a HELOC as a low-cost revolving credit facility for irregular income months — pair it with our Salary Calculator to gauge affordability.
— FAQ
Frequently Asked Questions
Common questions about HELOCs, draw periods, repayment, and payment shock.