When a seller finds their next home first
The house they love won't wait for theirs to sell. Running the HELOC numbers shows the carrying cost of using equity for the down payment while both homes are owned.
Move-up tools · Bridge planning
A HELOC calculator for buy-before-you-sell moves
Move-up sellers often want to buy the next home before selling the current one, and a home equity line of credit is one way some homeowners fund the down payment. This HELOC calculator shows the interest-only payment during the draw period and the higher payment once repayment starts, so your clients can see what carrying a line costs before they decide. It's planning math to take to a lender, not a recommendation.
- Included on: every plan
- Runs in English and Spanish
- Leads arrive with all 7 results attached
How do HELOC payments work?
During the draw period, many HELOCs require interest-only payments on the amount drawn. When the repayment period starts, the balance is repaid with principal and interest over the remaining years, so the payment rises. Rates are usually variable, so payments can change during both periods.
When you'd send it
When to put the HELOC Calculator in front of people
On your move-up or 'sell and buy' page
Homeowners researching a move want to know if buying first is possible. A HELOC calculator next to the seller net sheet covers both sides: what they'll net, and how to bridge until they do.
With past clients who've built equity
Past clients who bought several years ago may have significant equity. A HELOC calculator in an equity-focused newsletter helps them start thinking about a move.
What your visitor sees
The homeowner enters a HELOC credit limit, the amount drawn, the rate, the draw period and the repayment period in years. They see the repayment-period payment, the interest-only draw-period payment, the amount drawn, available credit, and interest during each period and over the life of the line.
The lead you receiveA homeowner planning a move, with equity to work with
You'll see the HELOC Credit Limit and Amount Drawn, the Draw-Period Payment (interest only) and the Repayment-Period Payment. A homeowner researching a HELOC for a move is a potential listing and a potential purchase, so it's a valuable lead.
Follow-up that works
- Ask about their timeline and whether they've found the next home yet.
- Offer a seller net sheet to show what they'd have after selling, which is what would pay off the line.
- Suggest they speak with their lender about HELOC terms and whether a line can be opened while the home is listed, since many lenders won't do that.
- What your visitor enters
- Amount Drawn
- their input
- Interest Rate (%)
- their input
- HELOC Credit Limit
- their input
- Draw Period (years)
- their input
- Repayment Period (years)
- their input
- What they see (and what you receive)
- Repayment-Period Payment
- their result
- Draw-Period Payment (interest only)
- their result
- Amount Drawn
- their result
- Available Credit
- their result
- Total Interest (repayment)
- their result
- Contact and source
- Name, email, phone
- with consent
- Page and campaign
- UTM · referrer
If you drew $80,000 for the down payment, the interest-only payment came out around $560 a month until your current home sells. Want me to run a net sheet so we know what pays the line off?
Before and after
Your page before and after this calculator
BeforeAfter
Before: We have to sell first
- Sellers miss the next home while waiting
- Contingent offers lose in competitive markets
- No one has shown them the bridge math
After: See the cost of buying first
- The draw-period payment in dollars
- What repayment looks like if the sale takes longer
- A plan to take to their lender
Reading the results
What each result means for your follow-up
The same figures your visitor sees arrive in your lead record. Here's how to read the ones that matter.
- Draw-Period Payment (interest only)
- The monthly interest on the amount drawn. It's the main carrying cost while both homes are owned, before the old home sells.
- Repayment-Period Payment
- The payment once principal is due. If the old home sells quickly, the line is usually repaid long before this applies. It shows the risk if the sale takes longer.
- Available Credit
- The unused part of the line. It's a cushion for closing costs or carrying costs, if the lender's terms allow.
What can go wrong
Mistakes that cost agents the lead
Opening a HELOC after listing
Many lenders won't open a HELOC on a home that's listed for sale. Clients considering this need to talk to their lender before the listing goes live.
Treating the rate as fixed
Most HELOC rates are variable. Payments can rise. Present the calculator's figures as estimates at today's rate.
Advising on the loan itself
Explain the planning math, and leave product decisions to the lender. Never imply a client should take on debt. Show the costs so they can decide.
Inside the HELOC Calculator
What your visitor enters (5)
Credit Line & Draw
- HELOC Credit Limit
- Amount Drawn
Rate & Repayment
- Interest Rate (%)
- Draw Period (years)
- Repayment Period (years)
Field names are shown as they appear in the calculator's English interface.
What they see (and what you receive) (7)
- Repayment-Period Payment
- Draw-Period Payment (interest only)
- Amount Drawn
- Available Credit
- Total Interest (repayment)
- Total Interest (draw period)
- Total Interest (life of HELOC)
Definitions shown in the calculator (9)
- HELOC
- A home equity line of credit: a revolving credit line secured by your home, which you can draw on as needed up to a set limit. It has two stages, a draw period with interest-only payments and a repayment period with principal and interest. This calculator estimates the payment in each stage.
- Draw period
- The first stage of a HELOC, often 10 years, during which you can borrow, repay and borrow again. Many HELOCs require only interest on the amount drawn during this stage, so the balance does not fall unless you pay extra. The calculator treats the drawn balance as constant through the period.
- Repayment period
- The stage after the draw period ends, when you can no longer borrow and the balance is repaid in principal and interest payments over a set number of years. The payment usually rises sharply at this point. The calculator amortizes the drawn balance over the repayment years at the current rate.
- Interest-only payment
- The draw-period payment: the amount drawn times the annual rate, divided by 12. For example, $60,000 at 8.5% is $425 a month. It covers interest only, so it leaves the balance unchanged, and it moves up or down with the rate and with how much you draw.
- Variable rate
- An interest rate that changes over time, usually set as an index such as the prime rate plus a fixed margin. Most HELOCs have variable rates, so both the draw-period and repayment-period payments can rise or fall. This calculator uses the rate you enter for the whole life of the line.
- Credit limit
- The maximum the lender allows you to borrow on the line. Lenders usually set it from your home’s value, your existing mortgage balance and a maximum combined loan-to-value, along with your credit and income. Interest is charged only on the amount drawn, not on the full limit.
- Amount drawn
- The portion of the credit line you have actually borrowed. It is the balance interest is charged on and the amount repaid in the repayment period. The calculator caps it at the credit limit; the unused remainder is shown as available credit.
- Home equity
- The market value of your home minus what you owe on it. A HELOC lets you borrow against part of that equity, with the home as collateral. Because the loan is secured by the house, falling behind on payments can put the home at risk, as with a first mortgage.
- Total interest
- The interest paid over the life of the HELOC: draw-period interest plus repayment-period interest. The calculator shows each part and the total, assuming the rate stays constant and the balance drawn does not change during the draw period. Rate changes or extra draws would change the total.
Calculator disclaimer
Estimates only. HELOC rates are usually variable, so payments change as you draw and as rates move; draw and repayment terms vary by lender. Confirm with your lender.
Calculator results are estimates for illustration, not Loan Estimates, pre-approvals or offers of credit.
Terms on this page
Sources
Questions by topic
HELOC Calculator: questions agents ask
How is the draw-period payment calculated?
As interest only: amount drawn × annual rate ÷ 12. Some HELOCs require some principal during the draw period, so the lender's terms may differ.
How is the repayment payment calculated?
The amount drawn is amortized over the repayment period at the rate entered, like a standard loan. If the balance is repaid early from the home sale, this payment never applies.
How does this compare with a home equity loan?
A HELOC is a revolving line with variable rates and interest-only options. A home equity loan is a lump sum with a fixed payment. The home equity loan calculator shows that option.
Is a HELOC a good way to buy before selling?
It's one of several options, along with bridge loans, contingent offers or selling first. Which fits depends on equity, income, rates and the market. The calculator shows costs, and the client's lender and financial adviser help them decide.
What happens if the old home takes longer to sell?
The client keeps paying interest on the line, and possibly principal if repayment starts. Discuss pricing strategy and a realistic timeline before they draw on equity.
How should I present this to a cautious seller?
As a cost comparison: 'Buying first would cost roughly this much a month until we sell.' Let them weigh that against the risk of selling first and needing temporary housing.
Which plan includes the HELOC calculator?
All plans. HELOC is one of the mortgage tools on every plan, including the free Agent plan.
Where should I place it?
On move-up and 'sell and buy' pages, past-client equity newsletters, and next to the seller net sheet in a widget for move-up sellers.
Does it run in Spanish?
Yes. The HELOC calculator runs in English and Spanish.
Pairs well with
Calculators that pair well with this one
Put the HELOC Calculator on your next listing
Included on every plan, including the free Agent plan. No card needed.