Home Equity & LTV Calculator
Calculate your home equity, equity percentage, loan-to-value (LTV) ratio, and how much you could borrow against your home. Runs in your browser.
Equity & LTV
- Home equity
- $170,000
- Equity %
- 37.8%
- Loan-to-value (LTV)
- 62.2%
- Borrowable at 85% LTV
- $102,500
Equity = home value − mortgage balance. LTV = balance ÷ value. Lenders typically let you borrow up to 80–85% combined LTV (a few go to 90%), so borrowable equity = value × max-LTV − balance. PMI is usually removable below 80% LTV. Use a realistic current value (an appraisal or AVM, not the purchase price). Informational, not a loan offer.
About this tool
Home equity is the share of your home you actually own — its current value minus what you still owe on the mortgage. This calculator computes your equity, your equity percentage, and the loan-to-value (LTV) ratio (the mortgage balance as a percentage of value), which lenders use to gauge risk. It also estimates how much you could borrow against the home: lenders typically allow a combined loan-to-value up to about 80–85% (some to 90%), so the borrowable amount is the value times that maximum LTV, minus your existing balance. These figures matter for several decisions — qualifying for a HELOC or home-equity loan, removing private mortgage insurance (usually possible once LTV drops below 80%), and understanding your net worth. The single most important input is an accurate, current home value: use a recent appraisal or automated valuation, not the original purchase price, since markets move. It is informational, not a loan offer or appraisal. Everything runs in your browser.
How to use it
- Enter your home's current market value.
- Enter your remaining mortgage balance.
- Set the maximum LTV your lender allows for borrowing.
- Read your equity, LTV, and borrowable amount.
Frequently asked questions
- How is home equity calculated?
- Equity = current home value − mortgage balance (and any other liens). If your home is worth $450,000 and you owe $280,000, your equity is $170,000, or about 38% of the home.
- What is LTV and why does it matter?
- Loan-to-value is the mortgage balance divided by the home value. Lower LTV means more equity and less lender risk, which affects rates, PMI, and how much you can borrow. At 80% LTV or below you can usually drop PMI.
- How much can I borrow against my home?
- Lenders cap combined LTV (all loans against the home) typically at 80–85%, some up to 90%. Borrowable equity = value × max LTV − current balance. On a $450k home at 85% with a $280k balance, that is about $102,500.
- When can I remove PMI?
- Private mortgage insurance can generally be requested for removal once your LTV reaches 80% (and is automatically terminated at 78% on most conventional loans), based on the original or a new appraised value. Rising home values can get you there faster.
- What value should I use?
- A current market value — a recent appraisal, comparative market analysis, or a reputable automated valuation. Using the purchase price understates equity if values rose (or overstates it if they fell). Lenders will order their own appraisal.
- Is this a loan offer?
- No. It is an informational estimate; actual borrowing limits depend on the lender, your credit, income, and an appraisal.