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💵 HELOC Payment Calculator

A HELOC payment calculator computes your monthly payment in both phases of a home equity line: interest-only payments during the draw period, then the higher amortized payment during repayment. See the payment jump coming, total interest, and the full cost of what you borrow.

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HELOC details

Draw period payment (interest-only)

$354.17/mo

For the first 10 years

Repayment period payment

$433.91/mo

Years 1130 (principal + interest)

⚠ Payment shock: when the draw period ends, your payment jumps by $79.74/month ($354.17$433.91). Budget for this before it arrives — it is the most common HELOC surprise.

Interest during draw phase

$42,500.40

Interest during repayment

$54,138.40

Total cost of borrowing

$146,638.80

Assumes the balance stays fully drawn through the draw period and the rate stays constant — real HELOC rates are variable (typically prime + margin) and will move your payment. Paying principal during the draw period reduces both phases' interest.

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Frequently asked questions

How are HELOC payments calculated?
During the draw period (typically 10 years) most HELOCs require interest-only payments: balance × monthly rate. When repayment begins, the balance amortizes over the repayment term (typically 20 years) with the standard loan formula — principal plus interest, at a noticeably higher payment.
What is HELOC payment shock?
The jump when interest-only draws end and amortized repayment begins. On $50,000 at 8.5%, payments rise from about $354 interest-only to about $434 amortized — and on larger balances the jump is proportionally bigger. Plan for it years in advance.
Are HELOC rates fixed or variable?
Almost always variable — priced as prime rate plus a margin, so payments move when the Fed moves. Many lenders offer fixed-rate conversion on portions of the balance. This calculator assumes a constant rate; treat results as a snapshot, not a guarantee.
Can I pay principal during the HELOC draw period?
Yes, and it is usually smart: paying more than interest-only during the draw period reduces the balance, cuts interest in both phases, and shrinks the payment shock at repayment. There is typically no prepayment penalty on HELOCs.

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Disclaimer: This calculator is for informational and educational purposes only. Results are estimates and not financial advice. Consult a licensed financial advisor before making financial decisions.