Estimate reverse mortgage (HECM) proceeds, lifetime and term monthly payments, and line-of-credit growth. Free, 2026 FHA limits, no personal info.
2026 HECM FHA lending limit: $1,249,125. Home values above this are capped.
Estimates only — not a loan offer or a substitute for HUD-approved counseling. Actual proceeds depend on the lender’s margin, index, and current rates, and every HECM requires HUD counseling. You remain responsible for property taxes, homeowners insurance, and upkeep, or the loan can become due. PLF values are approximate; confirm with a HECM lender. 2026 FHA limit: $1,249,125 (HUD ML 2025-22).
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A reverse mortgage lets homeowners aged 62 and older convert home equity into cash without selling their home or making monthly mortgage payments. The Home Equity Conversion Mortgage (HECM) is insured by the Federal Housing Administration (FHA) and is by far the most common type. This calculator shows how much you could receive — as a lump sum, a growing line of credit, or lifetime monthly income — based on your age, home value, expected rate, and the 2026 FHA lending limit of $1,249,125. No contact information or personal details required.
A Home Equity Conversion Mortgage is a federally insured loan that lets homeowners 62+ borrow against their home equity. Unlike a traditional mortgage, the lender pays you. You keep the title, continue living in the home, and repay the loan when you sell, move out, or pass away. HECM loans are non-recourse, so you or your heirs will never owe more than the home is worth. Your borrowing power is set by the Principal Limit Factor (PLF) — a percentage HUD assigns from your age and the expected rate.
Principal Limit Formula
Convert home equity into steady monthly income with tenure payments for as long as you live in the home.
Use HECM proceeds to pay off your current loan and eliminate the required monthly mortgage payment, freeing up cash flow.
Open a line of credit that grows over time, ready for unexpected costs like medical bills or home repairs.
Fund in-home care, assisted living, or medical expenses without selling the home or draining savings.
Bridge income with reverse mortgage funds so you can delay Social Security to age 70 for a larger monthly benefit.
See how much cash you could receive from your age and home value, helping you decide whether a HECM makes financial sense — without talking to a salesperson.
Evaluate a lump sum, a line of credit, tenure (lifetime), and term payments side by side to find the best fit for your retirement plan.
HECM closing costs include the origination fee, a 2% initial MIP, and third-party charges. The calculator gives a complete, itemized breakdown.
A HECM line of credit grows at the loan rate plus 0.5%. This guaranteed growth can substantially increase the funds available in later years.
Seeing your remaining equity and loan-to-value ratio helps you and your heirs plan for the future with clear expectations.
It depends on your age, home value, expected rate, and the 2026 HECM FHA limit of $1,249,125. Younger borrowers (age 62) typically qualify for about 35–55% of home value, while older borrowers (age 80+) may qualify for 50–70%. The calculator gives an exact estimate for your situation.
In the first 12 months you can access up to 60% of the principal limit (plus any mandatory obligations, such as paying off an existing mortgage). The remaining proceeds become available after the first year. The rule protects borrowers from drawing too much too quickly.
Tenure and term payments use an actuarial annuity formula: the monthly advance is set so that, compounded at the expected rate plus the 0.5% MIP, the loan balance reaches the principal limit at the end of the plan (age 100 for tenure). That is why a longer horizon or lower rate produces a larger monthly payment.
No. Reverse mortgages require no monthly mortgage payment. The balance grows as interest and MIP accrue. You must still pay property taxes and homeowners insurance and maintain the home. The loan is repaid when you sell, move out, or pass away.
When the last borrower dies or permanently moves out, the loan becomes due. Heirs can repay it and keep the home, sell and keep any remaining equity, or let the lender sell it. Because HECMs are non-recourse, heirs never owe more than 95% of the appraised value.
The PLF is a percentage HUD sets from the borrower’s age and the expected interest rate. It determines what portion of the maximum claim amount you can borrow. Higher age and lower rates give a higher PLF. For example, a 75-year-old at a 5.5% expected rate has a PLF of roughly 46.7%.
You keep ownership and can live in the home as long as it remains your primary residence. But the loan can come due if you fail to pay property taxes or homeowners insurance, or let the home fall into disrepair. Required HUD counseling helps ensure borrowers understand these obligations.
The unused portion of a HECM line of credit grows at the current interest rate plus the 0.5% annual MIP. This guaranteed growth is unique to HECMs and does not exist with a traditional HELOC. Over 10–20 years it can significantly increase your available credit.
HECM closing costs include an origination fee (2% of the first $200,000 plus 1% above, capped at $6,000), a 2% initial MIP on the maximum claim amount, third-party charges (appraisal, title, recording), and HUD counseling. Most costs can be financed into the loan.