**Introduction**

Calculating a 5-year home equity loan is a crucial step in financial planning, allowing individuals to assess their borrowing capacity and plan their repayments. In this article, we will provide you with a user-friendly HTML and JS code for a 5-Year Home Equity Loan Calculator, ensuring accurate calculations for your convenience.

**How to Use**

**Input Loan Amount:**Enter the total loan amount you wish to borrow.**Input Interest Rate:**Specify the annual interest rate for your loan.**Input Loan Term:**Input the loan term in years (5 years for our calculator).**Click Calculate:**Press the “Calculate” button to obtain your monthly repayment amount.

**Formula**

The formula for calculating the monthly payment for a fixed-rate mortgage is given by:

$M=P×(+r)n−r×(+r)n $

Where:

- $M$ is the monthly payment,
- $P$ is the loan amount,
- $r$ is the monthly interest rate, and
- $n$ is the total number of payments.

**Example**

Let’s consider a scenario where you want to borrow $100,000 with an annual interest rate of 4.5% for a 5-year term.

$P=100,000,r=×4.5% ,n=5×12$

Now, plug these values into the formula to find the monthly payment ($M$).

**FAQs**

**Q1: How accurate is the 5-Year Home Equity Loan Calculator?**

**A1:** The calculator employs the precise formula for fixed-rate mortgage payments, ensuring accurate and reliable results.

**Q2: Can I use this calculator for different loan terms?**

**A2:** This calculator is specifically designed for a 5-year loan term. For other terms, consider modifying the formula accordingly.

**Q3: Is the interest rate compounded monthly?**

**A3:** Yes, the formula assumes monthly compounding for accurate results.

**Conclusion**

A 5-Year Home Equity Loan Calculator is a valuable tool for anyone considering a mortgage. By providing accurate monthly repayment estimates, it aids in informed decision-making and financial planning.