You’ve worked hard to build equity in your home, and now you’re thinking about tapping into it for something important—maybe home repairs, covering tuition, or paying off high-interest debt. But when you start looking into home equity lines of credit, or HELOCs, one big question comes up: How much can I actually borrow?
It’s a fair concern. You don’t want to get your hopes up only to find out your credit line is lower than you expected. At the same time, you also don’t want to borrow more than you can afford to pay back. Figuring out your credit line for a HELOC might seem confusing at first, but it doesn’t have to be. Once you understand the basic factors lenders look at, it becomes much easier to see where you stand.
Use a HELOC Loan Calculator to Estimate Your Credit Line
One of the simplest ways to get an idea of your possible credit line is by using a heloc loan calculator. These tools are free and easy to use online. You just plug in a few details, like your home’s value, the balance you still owe on your mortgage, and sometimes your credit score. Based on this information, the calculator will estimate how much you might be able to borrow through a HELOC.
If you’re looking for a reliable place to begin your search, SoFi Lending offers a HELOC calculator tool that can give you a quick estimate. It’s designed for user-friendliness and helps you understand what borrowing power you might have before moving forward with a full application.
How Lending Services Look at HELOC Credit Lines
Different lenders have their own rules when it comes to setting your credit line, but most of them look at the same key things: the value of your home, how much equity you have, your credit score, and your debt-to-income ratio.
If your home is worth $400,000 and you still owe $250,000 on your mortgage, then your equity is $150,000. Most lenders, including SoFi, will let you borrow up to 80–90% of your total home value, minus what you still owe. So in this case, you might be able to get a HELOC of around $70,000 to $90,000, depending on your credit profile.
These lenders also tend to be more tech-forward and may offer a faster application process than some traditional banks. That can make the whole experience smoother if you’re someone who prefers doing things online and getting quick results.
Your Credit Score and Other Factors Matter Too
Even if your home has a lot of value, that doesn’t guarantee a large credit line. Your credit score plays a big part in this. Lenders use it to decide how risky it is to lend you money. A higher score usually means a better chance of getting a larger credit line with a lower interest rate. On the other hand, if your credit is low, you might be offered a smaller line—or possibly get denied altogether.
Your income, job stability, and existing debts are also reviewed. Lenders want to make sure you’ll be able to repay what you borrow. If you already have a lot of monthly bills or inconsistent income, your credit line might be lower to keep you from overextending yourself.
