Home Equity Calculator
Calculate equity from your home value and mortgage balance. See borrowing capacity at an 80% loan-to-value cap and a 10-year equity projection.
A $600,000 home with a $350,000 mortgage has $250,000 of equity. An assumed 80% combined loan-to-value cap leaves $130,000 of additional borrowing capacity, before fees and lender approval.
Equity at different home values
| Home value | Owed | Equity today | Capacity at 80% | Projected equity in 10 years |
|---|---|---|---|---|
| $400,000 | $250,000 | $150,000 | $70,000 | $343,788 |
| $600,000 | $350,000 | $250,000 | $130,000 | $535,060 |
| $850,000 | $500,000 | $350,000 | $180,000 | $754,772 |
| $1,200,000 | $600,000 | $600,000 | $360,000 | $1,147,631 |
Separate equity from spending money
Borrowing does not create wealth: it adds cash and a debt secured by your home. A lower interest rate is only one part of the decision; include fees, repayment time and the risk of losing the home if payments fail.
The projection separates home-price changes from mortgage paydown. It assumes 3% a year; a flat market would leave only the paydown share, and a falling one would eat into it, so treat the appreciation line as the uncertain part. The tool caps the starting mortgage balance at the home value, so it cannot show how far underwater an existing loan is. Neither an online valuation nor this result replaces a lender appraisal.