Calculator Inputs
Example Data Table
This example uses a $350,000 property, $180,000 first mortgage balance, $60,000 home equity loan, $2,500 financed costs, 8.25% interest, 15 years, $150 extra payment, 3% appreciation, and $300 monthly first mortgage reduction.
| Month | Date | Beginning Balance | Payment | Interest | Principal + Extra | Ending Balance |
|---|---|---|---|---|---|---|
| 1 | 2026-05-03 | $62,500.00 | $756.34 | $429.69 | $326.65 | $62,173.35 |
| 2 | 2026-06-03 | $62,173.35 | $756.34 | $427.44 | $328.90 | $61,844.45 |
| 3 | 2026-07-03 | $61,844.45 | $756.34 | $425.18 | $331.16 | $61,513.30 |
| 4 | 2026-08-03 | $61,513.30 | $756.34 | $422.90 | $333.43 | $61,179.86 |
| 5 | 2026-09-03 | $61,179.86 | $756.34 | $420.61 | $335.73 | $60,844.14 |
| 6 | 2026-10-03 | $60,844.14 | $756.34 | $418.30 | $338.03 | $60,506.10 |
Formula Used
Payment = P × r / (1 - (1 + r)^(-n))
Interest = Beginning Balance × Monthly Rate
Principal = Payment - InterestExtra payments are added directly to principal reduction.
Ending Balance = Beginning Balance - Principal - Extra Payment
Projected Value(month) = Prior Value × (1 + Monthly Appreciation Rate)
CLTV = (First Mortgage Balance + Home Equity Balance) / Property Value × 100Equity = Property Value - First Mortgage Balance - Home Equity Balance
How to Use This Calculator
- Enter the current market value of the property.
- Add the remaining balance on the first mortgage.
- Enter the home equity loan amount you plan to borrow.
- Fill in the annual interest rate and loan term.
- Include any expected extra monthly payment for faster payoff.
- Enter appreciation and average monthly first mortgage reduction for long-range equity planning.
- Choose whether closing costs are financed into the new balance.
- Submit the form to view results, graph, and full amortization schedule.
- Download the schedule as CSV or save the summary and schedule as PDF.
Frequently Asked Questions
1) What does this calculator estimate?
It estimates fixed-rate home equity loan payments, payoff timing, amortization, total interest, projected CLTV, and future equity under appreciation and extra payment assumptions.
2) Does it model a home equity line of credit?
No. This version models an amortizing fixed-payment home equity loan. HELOCs usually have variable rates, draw periods, and different payment rules.
3) Why can closing costs change the result?
When costs are financed, they increase the balance being amortized. That raises monthly payment, total interest, and combined loan-to-value compared with paying costs upfront.
4) What is combined LTV?
Combined LTV compares all mortgage debt against the property value. It usually includes the first mortgage plus the home equity loan balance divided by the property value.
5) How do extra payments help?
Extra payments reduce principal faster. That lowers later interest charges, shortens payoff time, and can improve projected equity sooner than the scheduled payment alone.
6) Why include property appreciation?
Appreciation helps estimate how property value may grow while the loan balance falls. It affects projected equity and CLTV, but real market values can move differently.
7) What is monthly first mortgage reduction?
It is an optional planning estimate for how much your first mortgage balance declines each month. It improves projected equity analysis without separately amortizing the first loan.
8) Are these results lender-approved figures?
No. They are planning estimates. Final rates, fees, appraisal values, qualification rules, and repayment terms are set by the lender and closing documents.