For well-qualified borrowers, the limit of a home equity loan is the amount that gets the borrower to a combined loan-to-value (CLTV) of 90% or less. This means that the total of the balances on the mortgage, any existing HELOCs, any existing home equity loans, and the new home equity loan cannot be more than 90% of the appraised value of the home. For example, someone with a home that appraised for $500,000 with an existing mortgage balance of $200,000 could take out a home equity loan for up to $250,000 if they are approved.