HELOC Calculator

The two ceilings that decide your number

Federal regulation caps a standalone HELOC at 65% of the property value. But there's a second ceiling: your total secured borrowing (mortgage + HELOC) can't exceed 80% of value. Your real limit is the lower of the two — which is why the answer shrinks fast when your mortgage is still large. This calculator applies both and tells you which one is binding.

Interest-only is the default — and the danger

Minimum HELOC payments are interest-only. That's flexible, but it means the balance never falls on its own, and because the rate is variable, the payment rises with every Bank of Canada hike. The rate-shock check above shows what a +2% move does to a fully drawn balance. If you're using a HELOC for debt consolidation, set your own fixed principal-plus-interest payment or the "cheap" debt never dies.

What you can borrow versus what you should

Lenders will also stress-test the HELOC payment inside your TDS ratio, so qualification may come in below the equity ceiling. And the ceiling is a maximum, not a recommendation — a HELOC is secured by your home. Miss enough payments and the lender's remedy is the house. Compare alternatives in our HELOC guide and price a straight refinance before deciding.

The readvanceable wrinkle

Many Canadian mortgages come bundled with a HELOC whose room grows automatically as you pay down principal (readvanceable mortgages, used in the Smith Manoeuvre). If yours is structured this way, your available room is the 80% ceiling minus the current combined balance — exactly what this page computes.