Home equity and LTV calculator

Estimated home equity on this page is a property value you enter minus the balances secured by that property. The same inputs produce a first-mortgage loan-to-value ratio and a combined loan-to-value ratio. The value is not an appraisal, and the equity figure is not an amount a lender will let you borrow.

Balances that count

The first-mortgage balance is the outstanding balance of the first mortgage. Other secured balances are outstanding amounts also secured by the home, such as a second mortgage, a home-equity loan, or the amount you have drawn on a home-equity line of credit. A blank balance is $0.00.

There is no field for an undrawn credit limit. Combined loan-to-value here uses the balances you enter. A lender’s home-equity combined loan-to-value can use the full credit limit of a line of credit even when part of that limit is undrawn. This calculator does not compute that figure.

How the results are calculated

Estimated equity is the value minus the first-mortgage balance minus the other secured balances. It can be negative when the balances are larger than the value. Negative equity is a result, not an error.

Loan-to-value is the first-mortgage balance divided by the value. Combined loan-to-value adds the other balances before dividing. Both percents use half-up rounding and keep up to six decimal places, with at least two decimal places on screen. A ratio above 100% is shown. The percents are not truncated to two decimals and then rounded up to the next whole percent.

Worked example

A $400,000 value with a $250,000 first mortgage and $50,000 of other secured balances leaves $100,000 of estimated equity. The first mortgage is 62.50% of the value. The two balances together are 75.00%. A $300,000 value with $280,000 and $40,000 of balances is negative equity of $20,000, with ratios of 93.333333% and 106.666667%.

Educational estimate only. It is not an appraisal and not an amount a lender will let you borrow. A refinance or a sale uses different figures.