Use this Line of credit calculator to determine how big a home equity loan or line of credit you may qualify to receive. The line of credit is based on a percentage of the value of your home or your real estate value - home value. The more your home is worth, i.e., the higher the home value, the larger the line of credit. Of course, the final line of credit you receive will take into account any outstanding mortgage loans you might have. This includes first mortgages, second mortgages, and any other debt you have secured by your home.
Appraised value of your home (home value)- This is current appraised value of your home or property - the home value. If it has been a few years since you purchased your home, the current home value may be worth quite a bit more than your original purchase price.
Mortgages you owe - This is the total of all outstanding mortgage loans on your home. This should include your first mortgage, second mortgages and any other debt that is secured by your home.
Loan to value ratio - The loan to value ratio is the percent of the appraised home value that your lender will allow, and is important in calculating the amount of your home equity loan or line of credit. For example, a 80% loan to value ratio would allow you to have $80,000 in debt secured by an appraised home value of $100,000. Remember - the total debt allowed includes all outstanding mortgages plus your new line of credit.
Borrowing: Calculatorplus.com provides comprehensive source of free finance and loan calculators including this Mortgage Loan Calculator to help you make the right decision getting a new loan. Whether you're interested in a new mortgage or refinancing an existing mortgage, this Mortgage Approval Calculator can help with your decision. Want to know how much taxes or insurance are included in your payment, use this free Mortgage Calculator with Taxes & Insurance.
Financing: Use this Credit Card Calculator to optimize your credit card debt in order to generate the greatest savings. If your are considering purchasing a new vehicle, this Auto Finance Calculator can help you work out your monthly payment.