Sweep HELOC Interest Savings Estimator

Model the Wealth Builder first-lien HELOC for cash-heavy clients. See how their idle cash balances could offset mortgage interest without sacrificing liquidity. Estimates only

Inputs

Loan or line amount$750,000

Assumed rate (adjustable)7.000%

For illustration only. This is an adjustable-rate product; the actual rate adjusts monthly with SOFR. Not a rate offer.

Average cash kept in sweep account$50,000

Idle cash that sits in the linked checking account. The higher this average balance, the more interest the sweep offsets.

Extra monthly principal (optional)$0

Extra principal directed to the line each month, on top of the equivalent traditional payment.

Comparison term

Estimated Comparison

Estimated Interest Saved

$283,090

over 30 years

Traditional mortgage interest$1,046,317

Sweep HELOC interest$763,227

By keeping about $50,000 liquid in the sweep account, the client could offset roughly $283,090 in interest and potentially retire the line about 4.7 years sooner than a traditional mortgage of the same size and assumed rate. Estimates only.

Comparison assumes the same monthly principal-and-interest dollars are paid on both paths. On the sweep HELOC, the cash offset means a smaller share of each payment goes to interest, so more falls to principal and the line pays down faster. Savings scale directly with average cash balance; low balances produce little to no benefit.

Estimates only. Actual results depend on rate, balances, and spending, all of which vary over time. This is an adjustable-rate first-lien HELOC; rates and payments can change. Savings scale with average cash balances; low cash balances produce little to no benefit. Not a commitment to lend or an offer of credit. All loans subject to qualification and underwriting approval. Equal Housing Opportunity. Jennifer Kirby, NMLS# 2672337.

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