HELOC Payment Calculator
Estimate your interest-only payment during the draw period and the bigger amortizing payment once repayment kicks in — so the "payment shock" doesn't catch you off guard.
Interest-Only Payment (Draw Period)
$531.25/mo
For the first 10 years, then it jumps to $650.87/mo when repayment begins.
Payment Breakdown
| Draw Period Payment (interest-only) | $531.25/mo |
| Repayment Period Payment (amortizing) | $650.87/mo |
| Interest Paid During Draw | $63,750 |
| Interest Paid During Repayment | $81,208 |
| Total Interest Over Life | $144,958 |
Watch the Payment Jump
When your 10-year draw period ends, your payment rises by about $119.62/mo — from $531.25 to $650.87. That's because you stop paying just interest and start paying down principal over 20years. Budget for it now so the change doesn't blindside you.
How HELOC Payments Work
A HELOC (home equity line of credit) has two phases. During the draw period — typically 10 years — you can borrow against your line and usually only owe interest on the balance. That keeps payments low and flexible, which is why a $75,000 balance at 8.5% costs just $531.25/mo to start.
Once the draw period closes, you enter the repayment period (often 20 years). The line freezes and your balance amortizes — you now pay principal plus interest, which is why the monthly cost climbs. Most HELOCs also carry a variable rate tied to the prime rate, so your real payment can move up or down as rates change.
Not sure a HELOC is the right tool? Compare it head-to-head with other options in our HELOC vs. personal loan breakdown, weigh it against a cash-out in refinance vs. HELOC, or read the full home equity guide. You can also run a quick side-by-side with our HELOC vs. loan calculator.
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Frequently Asked Questions
What is the draw period on a HELOC?
The draw period is the window — usually 10 years — when you can borrow from your line of credit. During this time most lenders only require interest payments, so your monthly cost stays low. You can also pay down principal voluntarily to reduce future payments.
Why does my HELOC payment go up later?
When the draw period ends, the repayment period begins and you can no longer borrow. Your balance amortizes over the remaining term, so you start paying principal plus interest. This often roughly doubles the payment — the so-called "payment shock."
Are HELOC rates fixed or variable?
Most HELOCs have a variable rate tied to the prime rate plus a margin, so your payment can change month to month. Some lenders offer a fixed-rate conversion option that lets you lock in a portion of the balance at a set rate.
Can I pay off a HELOC early?
Usually yes, and paying down principal during the draw period is a smart way to soften the future payment jump. Check your agreement for any early-closure fee, which some lenders charge if you close the line within the first few years.
How much can I borrow with a HELOC?
Most lenders let your total mortgage debt (first mortgage plus HELOC) reach about 80–90% of your home's value. So your available line is roughly that limit minus your current mortgage balance, subject to credit and income approval.