How much is your share of the home really worth, and how much can you obtain using it as collateral? This home equity and loan-to-value (LTV) calculator tells you immediately. From the property market value, the mortgage you still owe and the maximum LTV the lender allows, it calculates your equity (the capital you really own), the ownership share, the current LTV and above all the accessible equity: how much you can still borrow with a home equity loan or a line of credit (HELOC). It is the right tool to understand the financial potential hidden in your home.

What home equity is

Equity (or net home capital) is the part of the home you really own: the property's market value minus the outstanding mortgage debt. If your home is worth €300,000 and you still owe €180,000 of mortgage, your equity is €120,000. It grows in two ways: by paying mortgage instalments (reducing the debt) and through the increase in the property's value (appreciation). It is one of the most important components of a family's wealth and can be used as collateral to obtain credit.

What loan-to-value (LTV) is

Loan-to-value (LTV) is the percentage of the property's value covered by debt: outstanding mortgage divided by value, times one hundred. A 60% LTV means the debt is 60% of the value and you own the remaining 40%. It is the key indicator lenders use to assess the risk of a loan secured by property: the lower the LTV, the more protected you are and the more easily you obtain credit on good terms. Most loans have a maximum LTV, often around 80%.

How the calculator works

Enter four values: the property's market value, the outstanding mortgage, the lender's maximum LTV and any new loan you would like to request. The calculator returns your equity, the ownership share, the current LTV, the accessible equity (the maximum you can borrow) and the combined CLTV considering the new loan. Change the values to simulate different value and debt scenarios.

The values you need

The market value is what the property is worth today (a recent estimate or appraisal). The outstanding mortgage is the debt you have left (shown in your settlement figure). The maximum LTV is the threshold the lender applies to home loans, often 80%; leave it at the default if you do not know it. The new loan is the amount you would like to obtain, to see whether it fits within the limit and what CLTV results.

Equity and ownership share

The calculator shows equity both in absolute value and as an ownership share, that is the percentage of the property you own net of debt. The ownership share is the complement of the LTV: if the LTV is 60%, your share is 40%. It is an intuitive way to visualise where you are on the path to "owning 100%". The higher the share, the more solid your position and the more room you have to access new credit or sell with a good net proceeds.

The current LTV

The current LTV captures how exposed you are relative to the property's value. It is the first number a bank looks at when you request a refinance or an additional loan. A low LTV (under 50%) gives you access to the best terms; between 50% and 80% you are in normal territory; above 80% options shrink and rates rise. Keeping an eye on the LTV helps you understand when it is worth refinancing or when you have enough equity for new projects.

Accessible equity

The accessible equity is the heart of this tool: how much you can actually borrow using the home as collateral. It is calculated by multiplying the value by the maximum LTV and subtracting the outstanding mortgage. With a €300,000 home, an 80% maximum LTV and €180,000 of mortgage, the accessible equity is €60,000 (240,000 − 180,000). It is not all your equity (€120,000), but only the part the lender is willing to lend you while respecting its risk limit.

CLTV with a new loan

The CLTV (combined loan-to-value) considers all debts secured by the property together: existing mortgage plus new loan, divided by the value. It is the number the lender assesses when you add a second loan or a line of credit. If the resulting CLTV exceeds the maximum LTV, the request will be rejected or reduced. Simulating different new loan amounts lets you find the maximum obtainable figure without breaching the limit.

Home equity loan and HELOC

There are two main ways to use equity. The home equity loan is a fixed-amount loan, disbursed in a single sum and repaid in instalments: useful for defined expenses such as a renovation. The HELOC (home equity line of credit) is instead a revolving facility you draw from when needed, paying interest only on what is used: useful for recurring or uncertain expenses. Both are secured by the property and subject to the LTV limit: this calculator estimates how much you can obtain in either case.

Maximum LTV by product type

The LTV limit changes depending on the type of financing and the property:

These are indicative values: every lender has its own policies. Set in the calculator the maximum LTV you have been told to get a precise estimate.

The LTV bands

Lenders interpret the LTV according to fairly standard risk bands:

Staying under 80% gives you maximum access to home credit. Above 100% you are in negative equity: the debt exceeds the value.

How to use equity

Home equity is a powerful resource but must be used wisely. The most common uses: renovations that in turn increase the property's value, consolidation of more expensive debts (cards, personal loans) at a lower rate, financing of major projects or emergencies. The advantage is the low rate secured by the property; the risk is that you put the home on the line: if you do not repay, you can lose it. Use the calculator to size the request prudently.

How to increase equity

You can grow your equity in several ways:

The more equity you build, the lower your LTV and the wider your options: better terms, access to new credit and higher net proceeds on a sale.

Negative equity: when debt exceeds value

If the property's value falls below the outstanding mortgage, you are in negative equity ("underwater"): you owe the bank more than the home is worth. It is a risky situation, typical of falling-price periods for those who bought with a low down payment. In negative equity you cannot access new home credit and selling would entail a loss. The calculator flags it clearly, so you know when to focus on reducing the debt before any other move.

Common mistakes

• Confusing total equity with equity actually accessible for borrowing.
• Using an inflated property value instead of a realistic estimate.
• Forgetting that the new loan adds to the mortgage in the CLTV calculation.
• Borrowing up to the maximum limit, with no room for value drops.
• Underestimating the risk of putting the home up as collateral.

How to use the calculator

Enter the property value and the outstanding mortgage to immediately see equity, ownership share and current LTV. Set the lender's maximum LTV to discover the accessible equity, then add the amount of the new loan you are considering to check the resulting CLTV. Try different scenarios: what happens if the property appreciates? If you reduce the mortgage? By comparing the results you understand how much credit you can obtain and how much safety margin to keep.

Practical example

Your home is worth €300,000, you have an outstanding mortgage of €180,000 and the lender allows a maximum LTV of 80%, with no new loan. The result: an equity of €120,000, an ownership share of 40%, a current LTV of 60% and an accessible equity of €60,000. If you requested a new €50,000 loan, the CLTV would rise to 76.7%, still within the limit. Requesting €80,000, you would exceed 80% and the request would be reduced. Enter your numbers for your real situation.

Frequently asked questions

What is home equity?

It is the part of the property you really own: market value minus outstanding mortgage. If the home is worth €300,000 and you owe €180,000, your equity is €120,000. It grows by paying the mortgage and through property appreciation.

What is loan-to-value (LTV)?

It is the percentage of the property value covered by debt: outstanding mortgage divided by value, times one hundred. A 60% LTV means the debt is 60% of the value. It is the key indicator for property-secured loans.

How much can I borrow with my equity?

It depends on the lender's maximum LTV. The accessible equity is the value times the maximum LTV minus the outstanding mortgage. With a €300,000 home, 80% LTV and €180,000 mortgage, you can get up to €60,000.

What is the difference between total and accessible equity?

Total equity is all the capital you own (value minus mortgage). Accessible equity is only the part the lender lends you respecting its maximum LTV: usually lower than total equity.

What is CLTV?

It is the combined loan-to-value: all debts secured by the property (mortgage plus new loan) divided by the value. Lenders use it to assess a second mortgage or a line of credit; it must stay within the maximum LTV.

What is the difference between a home equity loan and a HELOC?

The home equity loan is a fixed-amount loan disbursed in a single sum; the HELOC is a revolving line of credit you draw from when needed, paying interest only on what is used. Both are secured by the home.

What is the maximum LTV for a home loan?

Often around 80% (CLTV) for home equity loans and HELOCs, but it varies by lender, property type and product. Set in the calculator the limit you have been told for a precise estimate.

What does being in negative equity mean?

It means the outstanding mortgage exceeds the property value: you owe the bank more than the home is worth. In this situation you cannot access new home credit and selling would entail a loss.

How can I increase my equity?

By paying mortgage instalments, making extra principal payments, and through property appreciation (market or targeted renovations). The more equity you build, the lower your LTV and the better the credit terms.

Does a low LTV get me a better rate?

Yes: a low LTV reduces the risk for the lender, who in turn offers lower rates. Under 50% you access the best terms; above 80% rates rise and options shrink.

Is the property value to enter the purchase price?

No, it is the current market value, not the purchase price. Use a recent estimate or appraisal: an inflated value would distort equity and LTV and give you unrealistic expectations of obtainable credit.

Is using equity risky?

It carries a risk: you put the home up as collateral, so if you do not repay the loan you can lose it. The advantage is the low rate. Use the calculator to request a prudent amount, leaving room for value drops.

Does the calculator replace the bank's assessment?

No, it is an estimation tool. The bank will appraise the property and apply its own LTV and income criteria. Use it to understand your equity in advance and how much you can realistically obtain.

Does it work for any currency?

Yes, the calculation is universal and uses the values in your currency. Equity and LTV are calculated the same way everywhere; only the currency symbol of the amounts changes.

Updated July 2026